Evening star., 1898-12-26

IllGTUINo IN fUUT-
teen years of >, ,lS3, IIO,GD fra ncs or about
81 ,HH $4,000, in the gold reserves of the
great European banks. The Imperial Bank
or Russia shows the largest increase with
gold holdings of :;,19I, 100000 francs in 1897
as compared with 6I990GG0 francs in 1S..,
1t has been for establishing the new none
Iafy regime upon a firm basis that the
RUSSIAN government has procured the .
395,T(Oon francs. which it has accumu-
lated within fifteen years.
After Russia comes France with an in
crease in gold holdings of 1881 500, 900
francs; Austria-Hungary. J63, 800 900 frames.
Gernany, 406,00o,000 francs; England, 246-
3Et,Hjo francs: Spain 213, 100000 francs and
Italy, 17i.200oOO francs The largest sup
ply OF gold money in circulation as well as
IN the banks is possessed by France where
credit instruments are used in limited pro-
portions, owing to the long monopoly of the
Bank of France. The per capita gold sup
ply in France is $21 .O6 Germany has ST. IS
and the United States follows close behind
with Sl2.42 Great Britain has a little less
so!d per capita and uses less currency than
either of these countries because of the
wide development of her credit system
These are the ranking countries among the
great commercial nations Some of the
SOid producing countries have q larger per
capita supply of gold money, but this is
only an incident to the production of gold
Tor transmission abroad. Belgium has only
$4.62 in gold and more silver per CAPITA
than any other leading nation
uoId IN the h1tcu states.
The United States have received fully
their share of the new gold production.
The amount of gold in the country in 1893,
both in circulation and in the treasury,
was about $3.50 900 600, and was only one
third Of the circulation of all kinds of
money. The amount of gold in the country
has now risen to 1929 900. 900 and is nearly
half of the whole circulation. The United
States treasury holds about 81 ,0oO0 800 and
N,rr l,,,,I
$1500Oa,G00. The effect of repeating the
silver purchase law was to arrest the chief
means of expanding the currency with
cheap money and to leave gold as the chief
means of expansion. The result has been
the absorption by the United States of a
large portion of their own annual produc
ton of nearly SH,0Don0 ana gold imports
for the ten months ending with October
amounting to $129, ,5)9,320. If the present
rate of gold production throughout the
world continues, which there is no reason
to doubt, the worlds supply of gold money
will rise in another year to five billions,
and the United States will have more than
one billion.
Scarcity of Paper Money.
The treasury is already suffering elnbar-
rassment from the surplus of gold and the
scarcity of paper The ordinary payments
have been made for some time in gold coin
and paper has been refused to many appli-
cants. Most of the clearing house settle
ments in New York are now paid in gold
whether the balance is in favor OF the gov
ernment or against it. The banks are so
loaded with gold that they turn 1t back
upon the treasury as fast as it is received.
Mr.. Jordan. the assistant treasurer al New
York, finds the resources OF his clerical
force taxed to the utmost In counting, sort
ing and testing the quantities of gold which
daily reach the subtreasury a New York
Even the treasury has recently been
swamped with gold from the local banks
which have been ordered by their CORE
spondents to make deposits in return for
shipments of currency. The Office force has
been kept over hours counting and testing
the metal The paper currency in the
treasury has shrunk to the narrowest linn
its and the department would be helpless
TO meet the demand for small notes if the
crop moving season were not practically
over.
The legal tender notes held have fallen 70
about $15,OOO0O0. The customs payments
at New York are now being made almost
entirely in gold, and the first twenty days
of December have shown gold payments
amounting to so per cent of the total nav
ments. Secretary Gage has not vet seen
ht to authorize the issue of gold certi6-
Gates, and doubts his authority to do so nm
der existing law, but some step of this kind
seems likely to be required next autumn
unless provision is made in the meantime
Tor the increase of the paper currency The
treasury deficit is not running at such
rate as to greatly reduce the money in the
treasury or increase the amount in the