Weekly national intelligencer., 1851-02-15

more than century, and had sen as smith satisfactorily
shows double their former price. The first effect then, Of
the supply from the American mines would be- not to
dpecas those metals but to prevent their further rise and
the product of both together from 1892 to l545 when the
mines Of Potos discovered averaged only about two
and quarter millions probably not than sufficient
to keep their value stationary especially Europe then re-
qured continual increase Of the precious metals from the
extension of its and the rapid progress of its wealth
and civilization.
The other point Of difference the far larger proportion of
the accession Of gold that used for coin. In the
first half of the sixteenth century the supply of gold and silver
furnished by the mines Of America gradual and mode
that it distributed partly in coin and partly in orna
and utensils in the usual proportions But at present
very small part Of the Californian and Siberian gold pro-
duced within the last four years. has been used in any other
way than in coin The additional amount which could be
used jewey and manufactures would depend on the IN
Of wealth. and that increase perhaps never exceeds IN
any country and rarely equals five per cent. year. IT.
them gold the amount Of 0OO 900 sufficient an
nusl supply for Europe and America before ls47 five per
year this sum, twenty per cent in the WHOLE
would be sufficient the demand from the increase OF
WEALTH. This would amount but AGO. 600, 80 that the
residue Of the 900 have remained in the form OF
bullion have been converted into co and thus have added
above twenty per cent the gold previously in circulation
ion that the late increase of the gold currency has caused its
depression, may draw further support to that opinion
both from the fact that Dr. Smith advances his hypothesis
as to the of the depreciation Of gold and silver
with qualification and also from the persuasion that in
critical and difficult investigation Of state Of things two hun
ded years before his time, he might be somewhat
mistaken. In this way led back to our first impress
sons that the process depreciation has already begun
But however we may differ about the present value Of
god there be doubt its future dePreca
ion AT the present Of production, in long term of
years the quantity the world would be doubled when all
will agree that its price must necessarily fall The produc
on moreover, has been, up this time, steadily increasing
and know yet when that increase will be arrested
The receipts the mint and its branches we have in
creasedin year from six millions to thirty and the
cspts for the last month Eve and half millions From
present appearances is not all improbable that the whole
product of the California mines will this year approach
hundred millions.
true all Of the adventurers California have not
realized their golden dreams and thousands have returned
home disappointed and penness but this mainly owing to
the dearness of living in country drawing most Of its
of subsistence from regions thousands Of miles off In
no long time agriculture will be profitable occupation
there mining and perhaps it is already considering
that the sangune temper Of ovelraes irregular and
pecaous gains. The great profits which await the first
terprises in agriculture will draw others engage in the
business and before many years have elapsed Caor
MIA will become cultivated and productive country. Pro-
visions having then fallen to comparatively low price, pa
that abandoned have never been worked will
then be wrought advantages and clear money may
be made Perhaps when the miner gets only two dollars day.
than when he gets eight dollars The searchers for gold
the Rhne according M Chevaler, find in day gold
the value Of from about -four to nnetysx and
although may be centuries before labor cheap
that in California if it is yet may not be very long
before thousands and thousands will be tempted to
gage in the business when the average gains will not be
than double or treble the rates on the Rhine.
As TO the quantity Of gold in California, though the coun
try has not yet been fully surveyed enough known to
that if vein Of gold quartz should be
wrought there is auva gold dust in region of from
thousand twenty thousand square miles than be
hausted in short term Of years and whether extracted
by hundred thousand five hundred thousand miners
must add to the quantity of gold greatly to diminish
its value In all probability, too, veins Of gold will here
after be extensively worked and, lastly, hear respect
able authority that there rich aurerous region east Of
the Nevada part which has yet been worked by c
zens explored.
Upon the whole, them it would if the proportion
between the values Of gold and silver which, n the old
tnen far back human annals authentic
twelve to one, and which the mines Of this continent, by
their great product Of silver changed fifteen sixteen
one, is destined be restored by still greater product Of
gold. At what time this change will stop, time only
show but it must be remembered that the consumption
of gold will increase with its cheapness, and that such in
creased consumption which always operates check depreca
ton, will be finally sufficient to arrest it.
Thirdly What wW be the probable consequences Of the
depreciation Of gold?
in which gold legal tender and in those in which
In the last where silver only the legal TENDER the depc
citation of gold will have material effect, except that the
metal will be used in greater abundance. In such countries
there will be greater consumption in gliding, in ewey, in
slver-gt utensils, sc. But in whatever degree gold be-
cheaper in the degree, of course all the
gold that previously existed in whatever form, be essened in
value that its future increase will least beneficial to those
countries that have the most Of it. But in those
tries where, in the United S.ates either metal is legal
TENDER herei inconvenience from which is not easy to
how they free themselves and against which theorists
long ago cautioned the Legislature.
Whenever the law decides on making both metals legal
tenders and consequently of value, must
sary determine that given quantity Of Of these metals
shall be equal in the payment of debts and ul6msnt of
tracts, to given quantity of the other. Now, when by
change in the market value of either metal consequence Of
sufficient alteration in the supply demand Of either their
relative values in the market differs from their relative value
by law and the mint the metal which worth in the
market than is at the mint will that account, be with