The Use of Credit Instruments

   he does not use them here, even though the facilities are more numerous.
   Such evidence as there is seems to indicate that payment by check has shown an increase during the past few years:
   (a)   In the first place, the returns of our reports show a larger percentage in retail trade. This evidence, of course, is by no means conclusive, but the checks could not be deposited if they were not drawn; therefore, whether they are largely “cashed” checks or checks received in payment of purchases, the fact that they are deposited in a larger degree indicates a wider use.
     (b)  The prosperity of the farmers in the Central West has enabled many to have bank accounts who fifteen years ago could not carry balances. The writer’s information from central Illinois is strongly in this direction.
     (c)  The third evidence is found in the growth of tne number of small banks, especially in the country districts. Since national banks have been permitted to estabfish themselves with a capital of $25,000 their number has increased from 3,617 to 6,926.
     (d)   The appearance of a considerable proportion of checks in the deposits of mutual savings banks is also, to some degree, significant. Of course the credit documents received in the deposits of these banks may be to a considerable extent money orders. Nevertheless their deposits show a certain use of credit paper by the patrons of these banks.
     On the other hand, the increase of that part of the population which consists of the wage-earning class, by whom

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