Gilpin observer., 1913-11-20
THE NEED OF GOLD

Did YOU ever stop to consider what
the conditions Of not only ours own
county but Of the world will be in
the next decade, unless more atten-
tion Is paid to the mining of gold,
the metal that Is behind the credit
system of the country? The credit
system expands with increase of pop
ulatiOn, and unless a reasonable pro-
portion of the standard of value is
behind credit, it becomes alarming,
and therefore cause contraction, and
contraction leads to panic. The lat
est statistics show that the annual
production Of gold in the whole world
is less than half billion dollars in
value. On proper basis, this Will
furnish a credit expansion of two and
one-half million dollars with safety,
but the actual credit expansion of
the world today is five billions annu-
ally. One-fifth of the worlds gold
is produced in. the United States,
but our business expansion and cred
its are much in excess of this produc.
ton, and with our constantly increas-
ing population, some method must
be devised whereby the intrinsic met
al which forms the basis of our ex-
change, must be increased to protect
our constant expansion of credit. The
United States has ample gold secret
eG in its mountains to protect her
ever increasing credits, could it be
garnered into our marts of trade. This
problem is one that the attention of
the people must take cognizance of
i'll tie near future.
These conditions can be modified
and ameliorated to a great extent by
making marketable at a profit our
vast deposits of. low grade gold ores
that everywhere abound throughout
the mining states. This great econo-
mic problem confronts the country
today, and were the federal govern
ment as ready and willing to assist
us in solving the. question of treat
ment of low grade ores at profit, as
they are in assisting the farmer to
make two blades of grass grow
not only assist largely in the stabili-
ty of this western empire, but would
benefit the government, by supplying
ample funds to protect her rapidly
increasing credits.
With the solving of the problem of
the successful treatment of low grade
ores would also come the increased
demand for skilled, as well as man
I ual labor, and would relieve material
ly, the stagnation that everywhere
abounds throughout the land.
Notwithstanding all the adverse
conditions under which the mining
states are laboring, Colorado in 1912,
produced $4,902,74S worth of ore, in
| excess Of 1911, the increase in silver
being SS1,902 fine ounces, and Gilpin
county increased her copper produc-
ton very materially during that per
iod.
1t must be borne in mind that Gill
pin county is the smallest mining
county in the state and is handicap
ped by the lack of smelters, modern
reduction plants, exorbitant freight
rates. ETC., that has materially cur
tailed the output on that account.
Many mine owners have refused to
operate their mines under present
conditions. 1t also confirms the pre-
dictions made by the Observer, that
the crisis has passed. and Gilpin is
steadily regaining the laurels she
was wont to wear for many years, as
the banner producing mineral county
of the state. An optimistic spirit
animates and permeates every nook
and corner of the county, and If by
chance we should discover an old
time pessimist, let us fold around his
memory the broad mantle of charity
and forgive him for his antideluvian
ideas.