The morning call., 1892-06-04
THE WORLDS GOLD.
Figures Seem 20 show That the supply
scarcely Equals the Demand
Naw york Commercial RnIIetfn

Figures Seem 30 show That the supply
scarcely Equals the Demand.
New York Commercial Bulletin.
The worlds movement OF gold for the
last few years has been singular and not
easily explainable. For the five years 1886
to 1890 inclusive. the annual product, ac-
cording to the United States Mint Re-
port, has averaged S112,000,OO0 For the
like period, the amount of gold coined
appears, from the same authority, to
have averaged S1340OO,000. The an
nual coinage has therefore exceeded
the production by SO, 100000 or nearly IL
per cent. Included in the coinage, however,
is recoinage Of gold coin averaging 49,
600, coo, which leaves the coinage OF new gold
at SlC9, Cos, 000 or S3,000000 below the actual
average production. With some 97l5 per cent
Of the product of the mines going into new
coinage, the question arises, How has the
consumption in the industrial arts been sup
Piled? Great pains have been taken by mon
etary statisticlans, and especially by the d.
TectOTS or our own mint, TO settle the difficult
problem OF the quantity Of gold going into
this branch of absorption; but there Is
reason - doubt whether any really trust
worthy estimate has yet been reached.
Ernest Seyd, before the English select COM
mittee on tie depreciation Of silver esti-
mated the consumption from l64o TO 1870 as
averaging S34, 100000 Since that time the
demand must have considerably increased.
and consistent with that superstition DR..
Soetbeer estimated the consumption in 1880
to be SIS, 600, 600, while the Director of the
United States has collected statistics which
led him 70 conclude that this use of the
metal amounted in 1886 to about S49,-
100000.
1t would appear reasonable to assume
from these estimates that the current worlds
annual consumption OF gold in the indus
trial arts may now amount 10 not less than
$50, 600 per annum. But whence has
THIS demand been met within these late five
years If the coinage consumption Of new
gold has eQGaled the production within
$1,000, 900? Part of the consumption In
manufactures is supplied from old plate.
watches, jewelry, etc. But, IL we are 10
trust official reports that portion is not
considerable Our own mint statistics
are the only available Information show
ing the different sources and forms of
this supply; aud it is doubtful whether,
after the most painstaking efforts TO get
the data, the real facts have been ascer-
tanned. The mint report for 1890 gives the
amount OF gold to be used in the United
States for that year as S13 623, 900, Of which
S10,113, coo is reported as domestic bullion
and a small amount in coin, and S3, 10000
as old material and foreign coin aad bullion.
1t would thus appar from this showing that
while the new coinage consumption leaves
surplus out OF the production Of only
S3,0O0,00O. yet the industrial consumption
of the United States alone of the direct
product Of the mines amounted to three
times that surplus. How much greater the
discrepancy would be upon the entire
worlds industrial tskinGs is readily appar-
ent.
These movements fail so widely to tally
that there is manifestly great error some
where in the data; but exactly where the
mistake lies it is difficult to demonstrate
| cOncluslyely. The statements of coinage
| should approach very closely to eXactness,
| for they are compiled from Government re-
| ports, which above all others are exempt
| from liability to error The production, how
| ever, is to a considerable extent, matter of
! estimate as to the movements of which cog
| niZance can be taken, while the small
streams Of supply flowing through individ-
ual nandS are more numerous than Is gen.
| orally supposed and yet escape count. 1t Is
| not improbable that the new supplies thus
eluding notice would make a considerable
contribution toward solving this discrep-
ancy. 1t is a question that needs inquiry
| how far the bars furnished by the minis
| to gold workers consist respectively
| OF metal coming from the mines and
| that derived from the remeting of old
| metal. 1t is by no means certain that the
! mines always discriminate in their reports
| between these different sources of supply
| with entire eXactness and perhaps they can
| not always do so. III, however, it should 90
that much Of the bar gold sold by the Gov
eminent TO gold-workers has come from the
| remelting Of old metal that would so far
| reduce the estimates OF new gold taken by
| the industries and TO that extent would d.
| miDlsh the current lack OF balance In the
statistics of the worlds gold movement.