The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1906-04-16
NEW COLO MEANS
INCREASED PRICES
Prominent Writers Differ on
Effects of Increased Out
put of Gold.
PRESENT INCREASE IS
A MILLION A DAY
Prosperity of Copper Industry
and New Methods Assist
in Result.

| The rapidly increasing supply of gold
in the world has attracted widespread at
| tentlon, not only from the financiers OF
the country. and from business men gem
| orally, but II has also furnished the text
| for numerous addresses and magazine ar
| ticleS, says the Mines and Minerals Some
| OF the essential facts In the matter arc
| the following:
Great Increase in Output.
The worlds GOLD production increased
more or less steadily up TO the year 1890
when II reached approximately Sl20 0O0, ,0OO.
From that time on the increase was more
/ rapid, year by year, until In 1896 the pro-
duction crossed the 200-mllllon-do dollar
mark an average yearly Increase of near
" Nf, 10000 From 1886 TO 1906, therefore,
there has been an average yearly increase
OF approximately S2o.000Cc0. For 1905 the
output OF gold Is estimated at 1915 900. .00O
whilc for 1906 the +oO-mlllion mark Will
probably be reached.
VIII Be Maintained.
The worlds stock of gold available for
currency has increased from nearly four
billion dollars In 1893 to over six billion
dollars In la6, and at present is increasing
at the rate OF over million dollars q
day. A review OF the gold-minlng indus
try leads TO the belief that this yearly
output of s4O0,000,0O0 dollars Will be at
least maintained for some years TO come,
II II Is not Stlll further increased.
What Causes Increase.
Although a large part OF this Increase
Is due TO the discovery OF new gold de-
posts, n considerable portion OF II is the
result of improved metallurgical processes
and methods of ore treatment. The sue
Cessful application OF the cyanide process
TO ore previously considered too grade
for profit has reyolutlonized the industry
In some sections, Modern concentrating
methods have reduced transportation
charges in other regions, while several
states, such as Montana, Arizona and
Utah. which produce gold as by-product
of copper, have lent their increment OF
increase owing to the prosperity OF the
copper industry.
Means Increased Prices.
The three points that have aroused the
most discussion on account OF their more
or less close relation TO and dependence on
the supply OF money in the world are the
variation in the price OF materials. the
cost OF labor and the rates OF interest
An Increasing supply of gold generally
operates 10 Increase prices by increasing
tho demand for commodities 1t is the
concensus of opinion among many writer's
on this subject that one result OF this In
Creaslng gold production Will be increased
prices for all sorts OF commodities. even
II this increase is not directly proportion
ate TO the Increase In the amount Of gold.
Difference in Opinion
Horace White. formerly editor OF the
New York Evening Post and one of the
clearest OF the recent writer's on this sub
1ect. In the December number of Moodys
Magazine, says: Gold is Itself demand
for goods: new gold is new demand: an
Increasing supply OF IL is an increasing
demand and this causes a rise of prices.
other things being equal" This opinion
is dissented from however. by many
prominent hnanciers, among whom is
Director OF the Mint Roberts, who thinks
new gold for some years and that there
VIII not be an Increase In prices.