The Charlotte Democrat., 1896-06-04
THE VALUE OF GOLD IN COINS

The discussion of the currency question has
engendered so much passion and prejudice and
has been becouded with such wild theorizing
that some of the most elementary facts ABOUT
our present standard have been dropped out of
mind in the confusion that has prevailed. The
following from the Baltimore Sun, therefore is
not without interest:
"Recently, in reply to a correspondent, The
Sun stated that $40 gold piece is worth twenty
dollars by of the weight of gold in it, not
by reasan of the government stamp or inscription
on it. If the gold piece were melted into
lump it would still be worth $40 in the market.
There are % % grains, Troy, of pure gold in the
gold dollar The Sun stated that these grains OF
gold in the form of bullion were worth dollar
at the mint or in the market. In other words,
the gold in coin obtained no increase of value
in the process of coinage. No appreclable part
of its value was due to the mints stamp, and the
proof of this was that If melted down the COIN
was worth as much as before Whereas the
silver dollar, the coinage of which it is proposed
TO make free, is worth when melted down but
little over so cents. The government finds 1t In
consequence little difficult, with the gold re-
serve of 500 600 600 In sight, to keep the pre-
sent limited issue of silver dollars circulating at
value double the worth OF the silver IN tnem,
but the achievement would be impossible II, as
proposed. the coinage OF silver dollars snoulo DC
made free and unlimited
As seVeral correspondents questioned the cor
rect1oss of our statement as to the value of the
| gold in gold dollar or in $2O gold piece, De-
ing under the imprC sion that the mint stamp on
| the gold and the copper mixed with 1t mace
considerable difference, The Sun, to end all ques-
tions, addres qed inquiries to the director OF the
mint at Washington, with the following result
TREASURY DEPARTMENT,
BUREAU OF THE MINT,
| WASHINGTON, D. c., May 2o 1890;
A. s. Abel Co., Publishers Baltimore Sun, Baltl-
| more, Md -
Gentlemen: In reply to your inquiries Of the
25 instant relative to the value OF gold ana Unteu
| States gold coins, submit the following:
| "I-What do you give for gold!"
| Ans-The government pays for gold at the
| rate of $50 81 per ounce, fine, or SIS 60 per
| ounce standard C9-10 ine9
Ills there charge for minting, and II So
| how much is it?"
AnsNThe government makes no charge for
| coming gold. -
| "III-Is there charge for the copper useo 10
prepare gold for the mint"
| Ans-When the bullion deposited is not suit
| able for coinage and requires parting ana rem,
inc charges are made for these operations, equal
~ os The eSnense incurred in eliminating the base
metels and parting gold from silver when the two Q
| metals are con- bined. There is also charge OF q
cents Der ounce for copper required LOT alloy
Tnon gold bullion of standard fitness, that IS COZ
tanning $40 gold and ITO copper, no charge
whatever should be imposed. 90 ., :,,
| "IV.-Will the mint give 81 w Tor % 20 grains
of pure god?"
Ans.-The depositor of gold bullion Is allowed
one hundred cents for every % % gralns' Troy
of pure gold his deposit may contain. A.
"V.-What is $40 gold piece worth IN tne
market if melted into a lump?"
Ans.-Twenly dollars ($2O if 1t has lost nom
ing in melting.
f''S r, E. PRESTON
Director of the Mint.