Business Men Must Co-Operate

There are still today great numbers of American businessmen who are uninformed concerning the details of the trade acceptance method, and therefore, unconvinced as to its merit. Some at least have given the acceptance a so-called introduction. In the majority of cases where this was done, the acceptance has come to stay. Nevertheless, others of an ultra-conservative type, while conceding its merit, are not disposed to disturb existing business conditions, which in the past have proven themselves satisfactory for their purpose. There is still another class of American businessmen, whose attitude may be described a unduly cautious They want all others to settle down in the use of acceptances before they themselves will adopt the plan.

The Government

Nevertheless, the prospect is altogether encouraging, for in nearly every line of business is the acceptance used today. The Government has rendered the greatest assistance, through the mechanism of the Federal Reserve System, to the progress of the acceptance method. This alone has influenced many to adopt the plan. Through the establishment of wider banking facilities, the Government has given every advantage to the standardization of commercial paper and has thereby rendered an invaluable service and aid to the country.

The Banker

But other sources which are fully capable of rendering an equally valuable assistance to American business have been the banks, and here the question has been, "What are they doing?" Evidently, the only possible answer for this question is that if they possess sufficient business intelligence to be able to appreciate the merit of a superior article when it is presented to them for sale or discount, or of the general adoption of sounder credit methods, they, too, must have a greater interest in the plan. They must be progressive, alert to encourage every movement tending to bring about the soundest and most scientific credit system. If the banker has been accused of retarding the development of the acceptance, this situation, however, is fast becoming remedied and a greater interest is being shown daily by increasing numbers of banks throughout the country for more information on the acceptance and its principles. Even those banks which have displayed an unfavorable attitude in the past towards the acceptance method are today fast coming to realize its practical utility. Already, there has been established the basis for an American open discount market and the users of the acceptance are becoming more numerous every day. With the proper publicity to this better form of credit, by the banker, his help and co-operation towards extending its use, with the encouragement which he is able to give the business community, the progress of the acceptance will be most rapid indeed.