Burlington free press. [volume] (Burlington, Vt.) 1827-1865, 1853-04-08
Depreciation in the Value Of Gold,

Mr.. Thomas IIankey, the Governor of the
Baak Of England IN a short preface which he
has written TO the English translation of Mr.
Leon Fauchers work on the "productio1 of
the precious metals" makes the following re-
marks:
can hardly agree that there is no little
ground for alarm as to depreciation in the
value of gold in consequence of the discover
les. The effects of the production in Austria
liza can hardly be felt at present, considering
that the export Of English gold coin has been
up to this date think, equal TO the amount Of
gold we have received thence but when the
soverelgns lately shipped are said to be in eX-
cess Of the wants OF the community in Aus
traa and are re-shipped to this country, to-
gether with the produce Of the gold workings,
between this and next summer, cannot but
believe that the supply in the market of the
world will be found in excess of the demand,
and that ultimately a considerable and general
| alteration in prices will ensue.
a late number of the NoRru AMERICAN RE-
| VIEW, contains an article on the increase of
the precious metals, and the consequent reduce
ton in the value of money. The writer shows
that, from the year 500, to 1915, according
to llumboIdrs tabIes.) the supply of the pre-
cious metals obtained from America were
! IL
the supply averaged $1,000, 900 year. The
supply was largely increased from 1850 to
1900, the highest rate estimated at $35, 300, =
600. About the year 1908, the annuo supply
was estimated at SlS $4,000, of which, SD :
$4,000 was gold, and S36,2390O 900 silver
For the succeeding ten years there was but
| little increase IN the supply, and down to the
wars in the Spanish American colonies, &C
cordng to Jacob the supply from the Ameri-
can mines did not exceed $4,000 600 a year
In 1884, MGCulloch states the supply from all
the world at S3OCO000O In 1917, this sup
ply was increased by the products Of the Rus
sian mines to $G7,00O,0OO. The products o
the California and other mines have swollen
the amount in 1852 10 Sis 900; in gold
Sl3S, $4,000, and in silver about $4,000, 600
from all the world The supply in 1852 is
about six times as large as it was twenty year:
since. No reduction in the supply is antc
patod for number of years. Should there bt
a reduction in the products Of the CaIifornia
mines, those Of Australia will at least max,
good any deficiency. An important difference
appears in the present increase and that o
former years. 1t is this the present increase
is in gold, while that Of former years wa.
nearly all in silver. This difference has al
ready produced great change in the relativ,
value Of gold aud silver, and a still create
change is looked for. The REVIEW. in con,
sideration of the matter, thinks 1t but the eXer
else of ordinary caution TO ASSUME that eth
annual supply OF the precious metals will no
fall below hundred millions Of dollars tp
many years, and that in quarter Of a ccntur
this supply will dcpreciatc money to onc-ua
or one>thltd its present valuc.' / he genera
opinion is, that the value OF money is reduce
in the precise ratio Of the increase Of the quar-