New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1902-09-30
THE COMING GOLD OUTPUT
ovry PERIOD OF Production EQUAL
TO ONE NOW BEGINNING
THAT OF 1s50'60

r. rs,-9a = Roberts. Director. Of the MIN
49, -. ,.o,,t If rbe Transvaal mines TINS yea1
will nrohably be about &5ene''' ana II 10
exnected 10 increase as lahorefs cah ~ =.
,,,+sl II reaches and perhaps even eAcee19
q ,oa,c,ion maintained vher the = ar hroKe oUI-
which was about NdoGDooOo year. Athoush 'le
s,,c+ion ~ the United States declined shghty
la. ,-ear and fa4ling off is reported TINS year
from the KIondike. there is so much capl'ai siiis
,nto mining enterprises. and there are 50 iaS
,s,r Acids of substantial promise mat 'heie =
-.s.on m EXPECT a larger production from Nor'n
America than il has vet given. The worlo Out,
~ This wear win nroha bly, reach S2fsa ana
NAV be expected 70 rise soon TO S55o"''"o an"
prohahlv 10 s+oo eoocoo.
There IS only one period in recent times VIM"
Is COMPARABLE ~ that upon which We are oesi-
Ming VIZ the ten years from 1880 70 lsS0 The ms,
effart IF the combined out- Of California anu
Australia was 70 increase the reserves o. 'he i'7
1isb and European banks. and lower the rate VI
interest NJ Gladstone. who was then nam
Of the Excheouer. was 50 impressed WIN 'ne
that money was 70 he permanently 'heai'ei I'M
he advised stems 10 reduce the rate upon the con-
soils Various influences. however. coincloeo d''I
shat time to co7Interact the influence OF the NV
gold There was great revival Of trade no ~.
stimulated Nv the low interest rates ana ~
activity in shfpbuildng and other industries ia
" affected by the gold fields Ihen came
NJ carital investment in India and the TRANSFER "
,,o-,ense sums To finance the building o. railway
-A,a
etc in that country. The new GOLD Went l" w
French mini and was exchanged in the clrcuia'"i
for silver and the latter exported 10 lhoia III CIV
NOUS amounts From 1855 II 1s65 these exports
more than Offset the total production Of gold IN
the United States and this mintn1lzed the
~ +bA nav SUPPLIES in monetary centres ms
,,,ovAuent vas not foreseen by CheNaleI. the
r-renob economist when h. advised the demohe-
,tza,tor of gold The Crimean War was anolher
,nAnsnce as it occasoned the movement Of I'M,
rnense sums the governments q tIsi1tlI aLu
Frarca 10 Eastern Europe and their distribution
The total stock Of gold in the world in monetary
,1sa ts estimated al about S5,eR0e"' out the 'oldl
amount actually held hank reserves Is onE
hor,- s. 6gs1 coo 600 The relation 81 the new sup
"a Re considered and particularly the ordl-
nary the reserves The regular nan
nels of circulation already suppheo. ano IN
This country trade is already as active as II can
conceiVshlv be When every man Is al WcIh you
cannot stimulate industry further. You can ont
NM m prces a large proportion Of the new gold
must be added the bank reserves Althoueh 'lt,
first effect may be lower interest rates We al =
familiar with the that low rates Of interest
tend 10 advance the value Of all 6vid End earning
properties and stimulate speculation until the sur
plus reserves are exhausted The permanent re-
suit is not interest. hut higher ValueS
FOR property We seem be entering upon a
period during which and all nAed payments
property To what extent this tendency may he
modified. It in the lS5''-6o period By the
new uses for gold. in the reha hllItatlon OF none
tarv systems and the industrial Development Of
hitherto backward countries. remains 70 be seen
With total production Of $3.50 6l1.fla per annum
probably 250oo0 coo would be available for none
fary use or about one-eighth Of the now in
the worlds bank reserves.