Evening star., 1901-10-30
Government Resources Taxed tc Keep
Up the Supply.
GREAT DEMAND In RETAIL TRADE
Increase in Output of Distinctive
Paper Secured.
S MALL COINS NEED d E D

That unusual activity prevails in the re-
tail trade of the entire country is evidenced
by a demand upon the treasury for notes
of small denominations and fractional sill
yer so great that the resources of the gov
ernment are taxed to the utmost to keep
up with II. A part of the demand is trace
able indirectly TO the act of March IA, 1900,
which remodeled the lesser paper currency
by providing for the exclusive use of silver
certificates for all denominations under $40.
This made it impossible for the treasury to
pay out again large quantity of notes
which it had on hand, and required their
replacement with silver certificates, to say
nothing of the output necessitated by The
daily inflow of more of the tabooed small
notes for exchange The necessity for
, using small silver certificates with such eX
traordinary rapidity forced into circulation
a great volume of paper money which was
green and unseasoned and therefore calcu-
lated to wear out dOubly fast, while its low
denominations made assurance of its use
In hand-to-hand retail trade. the severest
ordeal through which any kind of money
can be put. All the conditions. therefore,
forecast early mutilation and hence great
acceleration in the rate at which further
supplies would have to be provided.
The Treasurer's Foresight.
Some months ago the treasurer, finding
that he had to issue the new certificates
as fast as they reached his reserve vault,
obtained authority to accumulate large
advance stock. so to have quantity
seasoning while drawing what he required
for current needs. The bureau of engrav-
ing and printing. which has been consider
ably enlarged in space and mechanical
plant. had not only to increase its force of
employees. but to work them more hours in
the day time and add night shift besides.
Still the demand grew, more than keeping
pace with the expansion of the bureaus
plant and personnel Then the stock OF
distinctive paper threatened to run out, and
the factory at Dalton, Mass, was Soaded
to do more.
The paper makers pleaded that they had
about reached their limit, but few days
ago Mr.. Huntington, chief of the loans and
currency division of the treasury made
trip to the factory, and, after considerable
consultation with the contractors, sue
ceeded in working out a scheme for in
creasing the average output of 10000
sheets a day. heretofore the high-water
mark. TO 10000 sheets. In spite of this in
crease il will take several months to ac-
cumulate any considerable supply of fin
ished money for the treasury reserve
vaults.
Mints Pushed to Their Utmost.
In the minor coinage a corresponding
tivity prevails. The mints cannot keep up
with the demand for pennies and nickels.
Their chief aim now is to keep within sight
of the demand for halves and quarters. At
Philadelphia. where a stock of 1900 900
worth of gold bullion has accumulated, all
this has been laid aside to make way for
the halves and quarters. of which the ma
chimes are turning out 81 800, 600 or more a
month. At San Francisco and New Or
leans similar orders have gone forth, al
though later and the closing dates of the
month will show an aggregate product of
s6jp.OO or 100000 in those two mints. 1t
Is now regarded as extremely fortunate
that Congress raised the limit of s5O.O0 900
for outstanding fractional silver to s1O0. 900, :
Op by the act of March IA. 1900; otherwise
retail trade in these busy times would
have been In bad way. Even while the
s5O,OD.eD limit lasted the mints were
driven by sheer necessity to produce about
Si6,UO,eo. in disregard of the letter of the
law. and there is now outstanding some
Sl.UOOo0 all of it new money, to say
nothing OF the recoined pieces.