Some contended for an issue of paper money and after a long discussion
by the officials of the Treasury, it was decided to sell $50,000,000
worth of Panama two per cent bonds and $100,000,000 worth of three per
cent notes in the hope of calling from its hiding-place the money which
was being hoarded. The result of the venture was not satisfactory and
the loan operations soon ceased.
Gradually financial affairs righted themselves. The emergency currency
was redeemed, the runs on banks ceased, confidence slowly returned, and
business picked up, although by the middle of 1908 the volume was
scarcely half of what it had been a year before. The number of bank