The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-11-18
GOVERNMENT MONEY MILLS.
HOW THE SUPPLY OF BILLS rs
KEPT FRESH AND CLEAN.

Every working day OF the year there is
printed at Washington an average Of more
than three million dollars of new paper
money. Every day there is destroyed
practically the same amount The presses
in the mints at Philadelphia, New Orleans
and San Francisco daily stamp into form
about eight hundred thousand dollars OF
shining coin. We have then a total OF
almost -four million dollars, new money
created every day at the money workshops
Of the Government. e..
But good money cannot be had even
by great Governments merely for the max
ing. The sources Of this great stream OF
fresh bills and bright coins are carefully
guarded. They are governed by fixed
financial principles that are above legisla-
ton, writes F. A. Vanderlip, formerly
Assistant Secretary OF the Treasury. in
the Youths Com pdnion, and by laws which
Congress has tried to frame "a nearly as
possible in conformity with those higher
financial laws which must ultimately govern
the currency of all nstions @~
An active printer, with the aid OF a young
girl assistant, and working on a simple
handpress Of a type that has hardly varied
since the Government began to print money,
or, indeed, since one or two centuries be-
fore, can turn out eight hundred sheets
OF finished bills in a day, each sheet con
tanning four bills. There are $50 printers
at work in the Government Bureau Of
Printing and Engraving, some upon bonds,
stamps or other forms OF Government
securities, but most OF them printing
money. " ~,
Among all the interesting sights at ASH
ington there is perhaps hone more in
.ar.ssnr than. the intenselv active Bureau
- y"-e.- IL pr;r,iro Thara ora
OF engraving, IN
2,eSS employees tnere' whose eApeIfencelh
handling and counting the sheets OF bank
note naper and turning out the finished
IN H.. r;yar thsu a daxtaritv that ia
o"'' "as ~ "
fascinating I'd see ~
OF quite as deep interest as the>oureau
itself would be a study Of those principles
49, .ro h.ck ~ this rushing mandatory
t~~- -. - ror.io,ion -whiob
-PtLhclPiee' laws @"u i0%u"n' "u'V"
govern with absolute certainty the printing
Of each piece Of paper.
AZ hrst glance one piece OF paper money
looks very much like another. Each is an
example OF the hnest steel engraving, more
skilfuily made and more difficult to counter
felt than the notes OF any other Govern
ment.
There are Ave kinds Of paper money
printed. The sort that people are most
familiar. with is the silver certificate, for
almost all the one, two and five dollar bills
are in that form. They are printed chiefly
IA a matter of convenience to the, public
for the public prefers paper money to the
silver coin. The amount OF paper currency
outstanding is between eighteen and nine
teen hundred million dollars. and OF that
amount there are about four hundred and
seventy million dollars in silver certificates
and fOilr undr and SaVQntV-SPVen mill
lion dollars in gold certificates. =.
Although the Government prints gold and
silver certificates so freely, there are only
two ways by which they may be issued and
become a part OF the money stock OF the
country. II any person deposits with the
Government gold or silver coin, or gold bull
lion, the Government may issue silver GER
tifcates for the silver coin. and gold oertifi.
Gates for the gold coin or bullion; or II
any one returns worn certificates, like GER
old ones in turn being destroyed.
A dollar bill has an average lie OF about
fifteen months. Two dollar bills, not being
quite no actively used, last on the average
more than sixteen months. A five dollar
bill lives on an average two years before It
is worn out and the Government Is called
upon. to replace II. Ten dollar bills last
about three years and twenty dollar bills
more than four years.
The amount OF money tnat goes TO the
Government for redemption, either for the
purpose OF securing fresh, clean bills or for
conversion into some other form OF money
reaches a total almost too great to COM,
prehend. In 1904 the Government received
SpI2 ,000, 900 OF paper money TO be exchanged
for new bills or bills OF some other form
or denomination.
Next to the gold and silver certificates
in point OF volume are the national bank
notes, They constitute between one-fourth
and one-third OF the total amount OF the
paper money outstanding and although
they are printed under the Governments
supervision their volume depends, subject
to the provisions Of the national banking
law, upon the judgment Of the officers OF
the, national banks OF the country.
There are 1893 national banks in exist
ence and their capital forms an aggregate
Of ssOs BIS ,6Ss. The law provides that any
national bank may issue its notes in the
form Of money to an amount equal to its
capital. There could be, therefore, under
the provisions Of the law, a great manv
more than thepresent $3.50 600 900 OF national
bank notes IL the officers OF national
banks found it sufficiently profitable to
issue their notes In this form. 81
In order that this kind Of money shall be
perfectly secure 1t has been provided that
each national bank wishing TO issue notes