Arizona weekly citizen. [volume] (Tucson, Ariz) 1880-1901, 1893-09-09
GOLD GROWING SCARCER.

The new policy OF the Indian govern
ment, says the London Ststist, is likely
to intensity the appreciation of gold. We
have pointed out elsewhere that the
new policy is tentative and provisional,
that the most powerful member OF the
Herschell committee, who in fact car
ried that committee with him, looks
forward to the adoption of gold as the
standard of value, and ultimately to the
accumulation of a gold reserve, while
other members consider that the new
policy cannot be carried out unless
q gold reserve is accumulated as soon as
may be. We are bound, then, to as
sumo that by-and-by India will become
a much larger consumer of gold. From
time rmmemorial she has imported
large quantities of gold, and If the ex-
pectations of the Herschell committee
are realized she will import more gold
in the future. That, however does not
much matter; the point to bear in mind
is that all the world will understand that
the new policy is provisional, and that
by-and-by India will probably endeavor
to accumulate gold. That being so, all
the other governments will be anxious
to anticipate India and the likelihood
is that the scramble for gold will re-
ceive q new impetus. If it does, then
we have to look forward to further
fall in prices, to frequent fluctuations in
the value of money, and to occasional
severe spasms in the money market. If
the Indian government succeeds, silver,
in fact, ceases to be precious metal,
and gold in the future will alone have
to supply all the monetary demands of
the civilized world. 1t follows neces-
sarily that the value of gold must
steadily rise, unless, indeed, new mines
are discovered, and the production is
immensely increased.
BURDEN OF DEBT INCREASING.
One consequence of the further ap-
probation of gold will be to intensity
the agricultural depression all over Eu-
rope. Most Of the charges upon land
having been fixed heretofore, they will
weigh more and more heavily upon the
land owners as gold rises in value-in
other words, as prices decline. So again,
rents will become more onerous, and it
will be found that the settlement of the
last few years was only provisional, and
that further reduction will become
necessary. Also it is evident that the
burden of debt, not only upon individ
uals. but upon governments, will be
much increased. Our own debt, happily,
is being much reduced, and so is that of
the United States. These two countries
will not feel the consequences so much
as Others But countries like France,
with an enormous debt, will feel the
pinch, though France is SO rich and her
people SO thrifty that she will be able to
bear the trial. The poorer countries
will see their difficulties immensely in
creased, and unless they fall back upon
silver the number of bankrupt govern
ments will almost certainly increase.
SPAN. for example, is almost bankrupt |
already, but her difficulties will be In
creased as the burden of her gold debt |
is augmented. 1t will be hardly posi-
BILE for Portugal to conclude satisfac-
tory settlement with her bondhoiders.
The troubles of Greece will be added to,
and the trials of Italy will likewise be
multiplied. Everywhere the burden of
debt will necessitate increased taxation,
and SO will weigh very heavily upon the
general population.