The Corvallis gazette. [volume] (Corvallis, Or.) 1862-1899, 1898-03-25
ABOUT MINES AND MINING.
Alaska Gold in Relation to Affecting
Prices.

Alaska Gold in Relation to Affecting
Prices.
"What effect will the new gold yield
have upon prices?" is a question which
is being debated by statesmen and
fnanciers. The North American he
view treats the subject at length and
draws the deduction that even though
the Alaska yield is enormous 1t Will
not affect prices to any noticeable de-
gree. 1t reasons that there are too
many avenues open to the use OF gold
its monetary use, use among the arts
and the foreign demand for 1t to ever
change prices. The article says:
With a gold production for 1897 esti-
mated at $240, 900, 600, it is evident
that the new goldfields will have to
prove exceptionally productive in Or
der to add great percentage to the
worlds annual supply of gold. If
they should yield $50, 900, 900 per year,
carrying the total annual production to
$500, 900, 5000, they would still be
adding only 20 per cent to the previous
annual increase. The effect of new
supplies of the precious metals is great
ly restricted by the fact that the addi-
tions have to be set against the whole
mass already in existence. An addi-
tion of 25 per cent to the annual pro-
duction of wheat or corn, or even OF
more permanent industrial products,
like iron or copper, would have
marked effect upon prices. Gold is un-
doubtedly influenced, like all other
articles, by the law of supply and de-
mand. but the supply in any one year
is only a small addition to the amount
already in the market. All the gold
of the world used as coin or bullion In
monetary exchanges is constantly in
the worlds money market, capable of
being purchased by commodities di-
rectly or by slight premiums in rates
of exchange.
1t has been shown that the visible
stock of monetary gold existing In the
world today is about 81, $50, 900, 600.
Reasons will soon be given for thinking
that another sum of $1,000, 900, 900 is
concealed in private boards. The
mathematical elements OF the problem,
therefore, are: An aggregate gold pro-
duction within historic times of $9,-
900, 100000; visible supply of gold
in use as money of 81, $50, 600, 600; and
a possible annual increase of the sup
ply from $24O, 900, 900 in 1897 to $780,
OOO,O in future years.
The second questlon-what portion
OF the new gold will be devoted to
monetary uses-suggests the interest
ing inquiry, what has become of the
difference between the whole amount
of gold produced and the amount now
visible in coin and bullion? The
amount to be accounted for is 81, $780,
900, 900 and represents more than half
of the gold which has been produced
since 1892. There are three channels
through which this difference has been
absorbed, which may be briefly treated
thus:
Abrasion, the arts and the foreign
trade.
Americans the Best.
1t is complained that the British
have made no money out of mining in
this country. They should not send
over tie proverblaf younger son, and
luxurious mine managers, who "dress
for dinner" in remote mining camps
and have French chefs, and violinists
to soothe them during the hour of di-
gestion. Americans are mining to bet
ter advantage here; they are mostly
plain, practical men, and when they
buy mine they send one set of experts
to check up another, aud then pay a
price for the property, and no more
Movioo Gitu Horo11