frsbog_mim_v12_0374.pdf

7/17/2019 frsbog_mim_v12_0374.pdf

http://slidepdf.com/reader/full/frsbogmimv120374pdf 1/5

X-1913

CONFIDENTIAL:

NOT

FOR ' P U - s i ~ I C A T I O N

Questionnaire re

B g r i k e r s A c c e p t ~ c e s ,

Etc. ,

1)

Is the

ostaolishrnent

of dollar

exch:m;e

in world markets

l l l

essent ial benefi t to Arr•3ric =ln comrnerce

and th3

A m ~ r i c a n

people?

Stat:-:J reasons - nro or con.

(2) Is .en O " : ) ~ n discount market essent ial to th3 establishment of

dollar

exchcnge

in world rr,n.rkets?

St-:-t,:; reasons ... T)ro or

con.

(3)

Is a l ib >rctl onen

marb3t policy

by Federal

R e s e r ~ r e

B ~ · s essent ial

to

t h ~ development of an () T)en discount marl\At in

America?

St=.te reRsohs -

pr

or con.

(4) Does banl::-ers

acce l?tance

credi t , as nerrri.itted under the :F eder:ll.

Reserve ; ~ c t , suffici,:;ntl;t nrovidl3 for e s t a b l i s h r r ~ n t

of

doll.e.tr exchange

in world

markets?

I f

not, in

what wr:: y 8Pd tO what ext?rtt :u-e

the

nrovisions

of

the

P.ct

deficient?

(

5)

Does hankers accent·mce credi t , as :_Qermitted under th-3 Federal

Reserve .Act, tend to infl· l.tion of:

a)

Credit

?

(b) B llil: loF.ll ls

in United

St::(tes.?

l=>le: se sta.te . a r ~ e n t .

(6) Is the use of

banrers

a c c e n t ~ c e dollar credi t a b ~ n e f i t to

Americ-:n im r.lort 2nd.

er o r t trr:.de,

ei ther

or

both?

In ,qhe,

t ways is

i t benefici :-l

(7) Is

the

use of ~ a r u ~ e r s a c c e ~ t s n c e cred i t benef ic ia l in dorr.estic

t r . ~ . d e ?

(a)

In

d o : v ~ ~ s t i c tr.:ms T)ortation?

{h) On

W3-rehoused

s t ~ O l 8 s ?

374

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X-1913

(B) Are .AmericPn 'rJankers

accentance

credi ts ,

as

·nermi t ted under

the

Federal Reserve Act, ordin: lrily

self-liquidatinrr

within the periods for

which

bi l l s

are drawn thereunder?

Does this

vary

.s's

to

c1A.sses

of

credits?

As to iT ' T,iort t r 2 n s : : : ~ . c t i o n s ?

Export transactions?

Domestic

tr.=.nS"Dort<;ttion tr:msactions?

Warehoused st.=t:r;>1es secured credits?

(9)

In. your

o-oinion does

correct banking :pr:tctice require

continuing

securi ty d u r i n ~

the

l i f e

of

t h ~

credi t for

~ e r s

acceptance

credits

granted ~ ~ a i n s t warehoused s t a ~ l e s

(l<b)

fs the US· 'l of

banlcers

acceptance credi t

c..bused and

i f

so

in

what

ways c.lll.d to what

extent?

(11) I f abuses exist how may they best be

corrected?

(12)

Is an onen discount

marl\::et for 'rJankers dollar acceptances essential

to

the

maintenance

or

further

development of

.American

foreign

t r ~ d e

I f so, why?

Is t essential or desiroble as

the

medium

for

r ~ J . i z a t i o n on bi l l s

d r ~ ~ in domestic trensactions?

I f

so,

why?

(13) Is an o ~ e n discount

market

e s s e n t i ~ l

of the American

system of

b '3l lk

in

Z

f

S

I 1/Vhy?

(13a) 1b.at i s the re la t ion of r.m O"'en discount

m a r b ~ t

to

the

international

flow of credit?

(14) Is

the

'ban1:ers

acceptance rJetter adapted

to

ne;;cotis.tion

in o:pen

m ~ r k e t

or to

private discount t th"3 drawer s or borrower s

bank?

Please

st8.te

a r ~ : u r n e n t .

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·-3-

X-1913

(15) Should the acceptor discount

or

buy his

o ~

acceptance from

the

drawer

or

other

holder in

due course?

I f

so, under what circurr1stances and why?

16)

I f

m ~ c c e p t o r

acquires

his

own

acce [)t:mce

before

rraturity,

shcrllld

he

rese l i i t

or

consider i t

re t i red?

(17) ShOUld bares indorse

b i l l s

(a) Sold

from

their own port fol io?

(b)

Rec 3ived

foi discoUnt

~

credi t of

correS1:)ondent?

Please s ta te argument.

(18)

Should

~ a n t s

indorse

merely

for

profi t?

(19)

Should

acceptors exchange a c c o r r ~ o d a t i o n

indorsements

or their

own

acceptances

for purnose

of

effecting rediscount or ~ e t t e r

terms

of

rediscount?

(20)

Should

there be any l imi ts

on

indorsements in the

cases S U L : ~ e s t e d

in questions 17, 18 and 19? I f so, Vhs.t l imits?

(21) Should there be

a difference

in

the

case

of

h i l l s tha t •'Vhen bought

h1.ve already a bc-.nk

1

s

or

a betnker s indorsement.

(22)

W i ~ l the onm

market

e f f e c t i v ~ l y l imit

th<:l

l i a b i l i t i ~ s of acceptors

~

indorsers

on

~ a p e r offered in

the

oncn m ~ r k e t ?

(23) Wrat should be the nol icy

of

Federcl.

Reserve

B a . r i . ~ s in O'Pen market

purchases

of

hankers a c c e p t ~ c e s ?

( 24)

Should F e d e r ~

Reser·r l

Banks

consider indorsement

of

a

m . : m ~ b e r

bank

on h i l l s bou,:ht as

rediscounts

for the member b a n l ~ ?

(a) I f bou;;ht in o-p;n

market?

(b)

I f

bou-;ht from the member

bonk?

(25) f considered as redisco1mts,

would

member 'Danks purch;:;..se bankers

376

acceptances

for

inv,::stment and rediscount

them on OCC3.sion a t Federal

Reserve

B ~ n k s ?

I f not, why not1

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377

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X.1913

(26)

,.,by

do banks buy b-ml:ers accer,tances in the onen market?

27) Should Federal Reserve

} i e . n l ~ s ever

buy unindorsed

bills?

28)

Should

they ever

buy from, or

discount

for,

an

acceptor,

his

own

P..cce:J:)tance?

::>J ~ r i

thout other

indor

serr.ent

(1:> ·

1ilii

th other

indor

s". rnent

Please

state ar?Ument.

29) Should

they

l >uy

lona maturities, short

maturities, or both?

}J)

Should t h , . ~ y

ever; merely as

a

matter of

'DOlicy, decline to buy

I

p r i m ~

indorsed ~ : > i l l s

at

some r ~ t e

(31) What would be the

effect

in the d p ~ m ~ r k e t

if as

a mdtter

of

policy,

Federal

Raserve

~ s did

discontinue open

m a r ~ e t purchases?

}2)

What

difference,

i f any, should

Federal

Reserve

B ~ ~ s

maintain

between rediscount rates and

purchase

rates ')n nrime b a n k e ~ s acceptances?

(33) Are

different

rediscount rates as distinguishea from purchase

rates) desirable for

hankers acceptances

and

~ r . o m i s s o r y notes?

If so,

what is the .,roper basis

for

difference?

34)

H01w,

and

tQ

what

extent,

are the policies and nractices of the

Federal Reserve ~ r s fel t as an influence in the o ~ e n market?

· a)

On

general ccmditions?

~ \

As towards

specific - ~ a ~ e r

or classes

of ~ a p e r ?

35)

Are

they

uniform

at

al l Federal

Reserve 3anks?

and

if not, should t h e ~ ~

be?

(36) Has the open market d e v e l o ~ e d in breadth

stability?

I f so, to

what coffiparative

extent?

Please discuss fully.

37)

What are

the

principal

causes

for the

slow development of an

acceptance

market?

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X 1913

38)

What,

i f anything, further is

needed

for i t s development?

a)

To

~ ~ h a t

extent

do

acceptances

fac i l i ta te

the

~ ~

of

credit

between

different

sections

of

the U s 7

b) f

the ~ e d e r a l Reserve a r u ~ s adoryted a

narrower or

more

rest r ic ted pol icy

toward

open

market

purchases of ~ n k r s accept-

ances

than a t

present,

would th is have

a

tendency

to impede the n m of funds

when needed

from

creditor to

debtor

sections?

(39)

ShOUld

an eXport

or

import

l:lill

bear Specific

details

of

the

t ransact ion ·upon i t s face?

a) The desirabi l i ty

b)

The

probabil i ty.

78

frsbog_mim_v12_0374.pdf

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