The Worcester spy. [volume] (Worcester, Mass.) 1898-1904, 1898-11-25
Report OF Di-
rector Roberts.
GOLD COINAGE.
That Of 1897 Was the Larg-
est Recorded.

Washington, Nov. 24.-In his annual
report, George f. Roberts, the director
of the mint, says;
The most important events Of the
fiscal year in the world of government
finance have been the consumlnattcn
Of the long planned resumption of spe-
cie shipments by Russia in gold, the re-
organization Of the monetary system
of Japan, with gold as The standard
and the refusal Of the government IF
India to CO operate with the govern
merits Of the United Sta&es ana France
in an effort to establish binetallism by
international agreement.
The gold coinage of the world in 1897
was the largest recorded, amounting in
value to $487 49, 42, against $195. S99. 517
In 1896. Of the former sum, $146, 622, 1874
was recoinage, and approximately 1921,
097,14S q net addition to the stock of
gold coins. The principal coinage was
by the United States, Great Britain,
Russia, Germany, Austria Hungary,
France and Japan. The extraordinary
coinage of the year is accounted for by
the preparations of Russia, Austria
Hungary and Japan, for their monetary
reforms. In the case of Russia partic-
ularly, gold which has been accumUlat-
ing for years much Of it in bars, was
passed through the mints to prepare it
for circulation.
The completion of Russia's plans of
monetary reform, and the opening to
the uses of commerce of her great gold
reserve, systematically gathered year
by year, until it is the greatest single
hoard Of treasure the world ever saw,
is in itself a most notable event. The
demands of Russia for this purpose
have been a steady drain upon the gold
supplies Of the world, Every coin that
went into her reservoir dropped out Of
sight for the time as completely as
though dropped overheard in mid
ocean. On the frs. day of July, 1898,
the Russian treasury held over $I0,0O0,
600 Of United States gold coins $4,000
900 worth of English sovereigns, $27t-
600 900 worth of German gold coins, and
$15. 600 900 in francs, besides the coins
she may have previously melted, and
great stock of bars. Now her reser-
VoiT is full; what is added in the fu-
ture will run over, unless she proceeds
to fill another reservoir as a war treas
ury.
it seems improbable that she will do
This. when there are so many ways in
which the money can be spent or in
vested to develop the resources of her
people and thus add greater strength
than by en- idle hoard.
Whereas, Russia has been laying
away an average of $5O,OOO,OOO in gold
annually in idle hoard hereafter she
must absorb and use her imports ac-
lively and profitably in businessNor OPP
portunities in other parts OF the world
will draw it away from her. 1t is worth
thinking about that there is now no
other government in the world which
can make such drafts ON the common
gold supply as Russia has made during
the last ten years. India, is confessedly
unable to levy the taxation necessary
10 enable the government to gather
such q stock.
Throughout the world, among all peo-
pies who are sufficiently civilized and
ambitious to have international inter
course. there is manifest a desire to
bring their own currencies into definite
and stable relations with the money OF
the peoples with whom they trade
The exporter desires that the money
with which he buys at home and the
money for which he sells abroad shall
have a common unit of value. The
manufacturer, who is competing in
foreign markets desires that the money
with which he buys raw material and
labor at home and the money in which
he must quote prices abroad shall have
a relation to each other upon which
he may rely and calculate. With him
months usually separate his investment
in material from the final payment for
his finished goods
His accounts receivable are due IN
the money Of one country and his ac-
counts payable in the money of an
other III the monetary systems OF
these countries have no common unit
if each nation in ignorance or mlsled
independence prefers IAN independent
system of its oWn''-they Will newt
ably vary in value to each other, and
the profits of the international transac-
ton we are considering are subject TO
these variations. Such variations are
therefore a barrier to trade between
the countries. They constitute RISK
additional to all the ordinary coming
encies affecting domestic trade. TOT
which the trader must be reimbursed.
Either the producer must sell MS goods
enough cheaper, or the consumer must
nav enough more to cover it. 1t was
TO escape from such fluctuations OIL the
Russian currency, which in 1892 reached
90 per cent. that the Russian govern
ment has fixed its paper money at the
gold standard For the same reason,
Austria Hungary and Japan have
done likewise For the same reason,
India closed its minis to the unrestrict-
ed coinage of silver and has been
struggling since to hold its rupee at
the fixed value of 16 pence. 1t is for
this reason that even Peru, with its
comparatively small foreign trade has
closed its minis to the unlimited coin
age Of silver, the preamble of its pres
idents proclamation reciting; Where
as. the variations in exchange result
ing from the continued fall in the value
of silver require the executive to take
such steps as are within the range OF
his legal powers. etc.
1t is for this reason that the govern
ment of France, while friendly to an in
ternational agreement upon bi-metal +
lactmoney standard, will not entertain
any proposition that involves pos
siblk separation of her own currency
from the standard used by the other
important commercial nations OF the
world
That these fluctuations are ineVita-
BILE to a currency not held TO the m