Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1907-07-31
STOCK OF GOLD
IN UNITED STATES
Retiring Director Of the Mint,
George E. Roberts, Makes
Estimate Of Amount.
GRAND TOTAL sL472,995,2oe.
Some Possible Sources of Error Point
ed Out-.Assumcd Coin Carried Out
or Country Is Brought Back.

ed Out-Assumcd Coin Carried Out
or Country Is Brought Back.
Washington, July 30.--The retiring
director of the mint. George Il. Rob-
erts has been for n number of years
conducting an inquiry for the purpose
OF verifying the treasury estimates of
the stock of gold In the United States,
or of tracing errors thesein, and today
gave out the following summary of
his conclusions:
For number of years the treasury
estimates of the stock of gold in the
United States have been questioned by
competent students who have be-
loved them to be high The amounts
reported to be in the treasury and in
national banks are not disputed but
the large residue assumed to be in
other banks and in circulation is con-
adhered n doubtful quantity, For en-
ample, the estimate for June 80, 1905,
was as follows:
United States treasury IS S04,340,t35
National banks ....... 11S,513,2S1
National banks by clear
ing house certificates. G9,197,00O
Other banks and in cir
culatlon ........... 4SO,94i, 1888
Total .............S1,47 2,99 ,209
The report of the comptroller of the
currency in 1896 shows that state and
other banks not In the national system
reported to him as holding on that
date a total of S54,397279, including
clearing house certificates. These
banks also held sS1,5T1,6S1 in unclas-
sified cash." and S7.027629 in "spe-
cie." Allowing the usual percentage
Of this to be gold and making some
further allowance for private banks
not responding to the comptroller's
unofficial inquiry, s1O0.O00,000 is con-
sidered a fair estimate for the gold
coin in banking institutions other than
national.
The laws of the state of California
require the money of the state, coun-
ty and municipal governments to be
kept in the immediate custody Of the
ireasurers. and this is held to mean
that the cash must be In the vaults of
their offices instead OF on deposit In
banks, The aggregate amount of gold
coin so\ held in the state of California
on the first Monday in July. 1906, was
S20.151.409. These are the only large
holdings of gold of which there is de-
finite knowledge.
The total. therefore, of gold which
may be said to have been in sight in
this country on June 80, 1906 was
SLIP, 201.S25. leaving s360,79S,3S4 to
be considered "in other banks and in
circulation" For this last item 1t is
evident there can be no exact figures.
The sum total is arrived at by the
method described below. and after
the analysis above given, is made the
remainder is assigned to the unknown
holdings.
The treasury estimate dates from
June 80, 1873, when DIR. Henry X.
Linderman, director of the mint esti-
mated the total stock of the country
at s135, 900. The conditions then
were favorable to n close estimate. The
country was on a paper basis. and the
stock of gold comparatively small. DR..
Linderman In framing his estimate,
said that he had taken the amounts In
the treasury and national banks and
added an allowance of $20,000,000 for
the amount in circulation on the Pa
cifc coast and S10,000,000 for the
holdings of the public in other parts
of the country.
Since 1873 the coinage of the mints
and the imports of United States coin
have been regularly added and the ex-
ports of United States coin and an al
lowance for the amount consumed in
dustrially have been regularly deduct
ed BY this method the estimate had
been huit up from year to year to
the totals used.
POSSIBLE SOURCES OF ERROR.
these estimates are carried along, are
three to-wit:
First-Errors il. custom house re-
turns OF coin imports and exports.
Second--Errors in estimating the In
dustrial consumrtion.
Third-The unrecordod movement of
coin In and out OF the country In the
Immediate possession of travellers.
1t Is evident that II errors under
these heads should be cumulative they
would barome important in long term
of years. exon though inconsiderable in
any single car Whatever errors oc-
CURED would AFFECT the amount as
signed TO other banks and In circu-
lation,' the sums In the treasury and
national banks being definite and Of
fetal
Among the most intelligent and we'll
informed OF the critics has been Maui
rice l.. Muhleman. for many years an
official OF the treasury department. He
has several times reviewed the esti-
mates and given cogent reasons for
believing them too high The director
eral years that errors had crept into
the estimates, but has preferred not TO
announce a revision until all sources
OF Information had been exhausted. He
is now rad. to make the changes sub
mittod lCluW
The fret error to he Motel Il one dis
covered by Mr. Muhlemnn IN DR., Lin
derrrnn's original estimate of the stock
In the country June 80, 1878. The stock
OF gold actually In the treasury on
that date, after various "coin items"
are eliminated. was only S7i, iSs,54S: the
stock Of ''apec'o" in national banks Mt
the neareat statement thereto was So
sls'Os6 Tho latter included some sill
Yer coin The nearest date from which
the stock OF silver coin In banks IL
obtalnablc Is June 30 1876 when 1t was
vi 'i72507 IT seems probable that there
was silver coin 10 the amount of ST.
poOO0O In the banks on June 30 1878.
which would make their gold holdings
SSsls QS6. Adding the f3oOOOo0 esti-
mated hv Or. Lindermnn ms the amount
IN The hands % ofher hanks ana .he
public, the total In the country on that
date would be STOCKHOLDERS, instead OF