The Washington herald., 1907-12-17

EaDlultA
of the increase Of bank deposits The
percentage Of gain was 29S In other
words the bank deposits lacked but . per
cent Of being tripled. The Western
States ranked next with an Increase of
293 per cent The Pacific States show an
increase of 24 per cent. and the Middle
Western States an Increase OF 2l0 per
cent. The Eastern States increased their
deposits l56 per cent. and the New Eng
land States 81 per cent
While bank deposits have been growing
with wonderful raplditv in ten years. the
banking power OF the nation has kept
pace. Then il was s5,OOO.0O0OO0 To-day
it is more than $4,000 O0O.OO0. Then the
banking power OF the United States rep
resented about one-thlrd OF the banking
power Of the world. To-day il represents
eight-nineteenths Of the banking strength
Of ali countries In the past sixteen years
the banking power OF the United States
has developed more rapidly than that OF
all other countries together.
The United States profits not a little
by the operation Of making money. When
a million dollars OF money IS issued from
the government mints and the Bureau Of
Printing and Engraving. IL IS reasonably
certain that a percentage large enough tn
make Ii a profitable business will never
be returned. An instance Of this Is to
be had in the issuance OF fractional cur
rency. Everybody knows that the three
i've, ten. fifteen. twenty-five. and fifty
cent paper money to-day is so rare as
10 be seldom seen. Precious little Of that
yet outstanding Will ever get back 70 the
Treasury for redemption. There is now
more than $5,cO0,OoO worth OF this frac-
uonal currency outstanding. AS the
treasury got face value for it when il
was issued. it is that much ahead Of the
game.
Likewise there are the old demand
notes of five. ten, and twenty dollar de-
nomination. They are out Of circulation
and about $60,0eO worth Of them never
came back. More than million dollars
worth OF two and three cent pieces have
never come back for redemption. and
Sl0W00OO worth Of other minor coins will
repeat this history. Every time a niece
2t redeemable paper money is lost the
treasury profits just as much as there
is difference between the cost and the
iace value of the money The govern
ment figures that One-half of 1 pc. cent
OF all the paper money issued never gets
back to the Treasury On the bank notes
Issued since 1878 the government. on this
basis, has made about S5.O00 COO II Uncle
Sam could balance his books ae would
probably find himself ahead OF the game
by more than a hundred million dollars
since ne went into the money-makine
business through that which left his
hands never TO return
The average man does rot realize the
wonderful Increase in the production of
gold in recent years. More gold was
brought from the mines Of the world in
the ten years from 1896 to 1906 than was
produced between 1892 when Columbus
discovered America. and 1919, when the
gold Of California began to come into the
OPEN In the same decade after 1886 the
gold production was as great as it was
in the quarter OF a century preceding. II
the present rate Of production is kept up
the world viii have produced by 1905
as much in twelve years as it did in fifty
years before 1896. or more than s.. 600 600
600 worth OF the yellow metal The produc
ton of silver has increased enormously
also. but It's great increase began four
years earlier.
In per capita circulation Colombia
ranks first among the nations of the
world. with S16466. But she can easily do
so. for ali OF il is paper money except Z
cents per capita. The Argentine Repub-
lie ranks next with a per capita circula-
ton of 1888. though $500 of this is paper
and has nothing behind it. France Is
third, with nearly $40 per capita: Of this
$26.41 is gold. The United States follows
with sail Australasia ranks next. and
is only a little bit behind the United
States; its per capita circulation of gold
is the highest in the world, being over
$50. France ranks next, and then the
United States.
Per capita circulation in England is
but a few dollars more than half of
what it is in the United States, while
Germany manages to get along on one
third less than we have-and we are
clamoring for more. The money per capita
in Japan amount TO S415 and in China
10 only S-O6, the lowest by one-half of
any nation in the world. The average
per capita circulation for all nations IS
$685. Of which $3.50 is gold. s.. 40 silver
and 26S uncovered paper.
Tomorrow - PRnics and LegisIa-
tiOn.