The chronicle=news., 1913-04-08
DIFFER ON
WORLD GOLD SUPPLY

III. annual production of precious
metals. especially gold. shar. the
| view that We have about reached tn"
max imum amount OF gold taken year
ly from III" worlds mines.
Til. Increases for the past TWO or
thrc" years have been comparatively
trivial. The value oi the gold taken
from the mines In III" past three or
four years has been somewhat Ia .N-
cess oi four hundred million dollars,
| From III" point OF view al finance, II
II even more Important and inter
.stinS to b. Informed OF the Views oi
such experts as IN" Director u! the
Mint ~ Washington, Mr Rnhcr,S. OF
those al two or thf". nj III" foremost
~ til. expert authorities of France.
| For II the bankers OF III" world can
be- assured that hereafter the annual
output from the worlds gold mines u
not To he greatly In excess oi four
hundred millions. then there can be-
fairly reasonable estimates OF what
the relation OF gold hereafter 10 cred
IL or to loans Ii likely TO he.
There are some, authorities. how
ever. who ar. not prepared now TO
admit that III. great gold mines oi
the world have nt last been uncoN-
cred or that ih"r" no longer remain
any new gold fields OF richness to b"
exploited. Our Minister to Bolivia.
| iIorac. Knowles. In a recent visit To
the United states. spoke OF the amas-
Ing richness OF gold deposits in that
South American nation. TIL" h-vci-
opmcnt of these mines. MIR Knowles
said only awaits adequate iransp"ria-
ton. and would speedily consider
ably incrcas" the annual output of
the worlds gold supply.
As great an authority ms cS-S"na-
tor John =, Jones. who for 2" years
represented Nevada In III" United
States Senate. has long been con-
WINGED that somewhere In our Alask-
nn territory III" mother lode OF gold
Will be discovered and that our gold
supply will speedily thereafter b. In
creased each year by very large
sum.
Senator Jones IL OF the opinion
tina, there may yet be discovered
within the boundaries OF the United
States gold deposits which viii match
those OF the Cripple Creek region.
When peace is assured In Mexico and
when the Central American States
yield to commercial development. the
presumption II strong that there Will
be large yearly nccrctions OF the
worlds supply OF gold from the de-
posiis IN those states. So also some
who have studied this question are
persuaded that siberia ultimately
Will he found yielding large amounts
OF gold each year. Explorations In
Central America may uncover new
and very rich deposits OF gold.
Although some OF the authorities
are inclined to think that one en-
q II. L.. l.I II.
may b. found in the enormous In
crease IN the worlds supply OF gold
within the past ten years. yc, that
| opinion Is not generally accepted ev-
en- by experts. and thcr. are very few
BANKERS who are In accord with this
view. For. enormous as has been the
increase In the world = gold supply.
and great as l. the amount-now cs-
timated at seven billion dollars
utilized FOR commercial aud scientific
purposes. nevertheless demands from
all over the world for capital have
been so great as 10 more than equal
the yearly increases In the worlds
supply OF gold Furthermore. the
presumption is that these demands
will continue.
Well informed bankers and some
OF the Officers OF the Treasury De-
/ partmont who served in earlier ad-
ministra,ions than the present, sus-
pcci that a great deal more boarding
OF gold prevails in the rlitcd States.
and has for n long time prevailed.
than the public realizes. The man
ner OF this boarding is no, similar to
that adopted IN Europe.
Our method OF boarding Is one OF
which President McEinlcy's first
| nT 'rrn 4 I
Ga 90, OF Chicago. used often to speak
at least informally. to his friends.
Mr.. Gage became Secretary. of the
Treasury shortly before the gold dis
covcrics in Alaska and the large
yearly output of mines within the
boundaries OF the United States. IN
his view. our gold criificatc law en-
couragcd kind of boarding Of which
there Is no record. nor does the pub
lie suspect the magnitude of 1t. i,
Is represented by the custom now
widely prevalent of carrying upon
the person gold certificates to be
used In case OF emergency
An estimate was made by the pres
ident of one of the greatest banks OF
New York recently that at least 500
usually in gold certificate of
that amount-was carried upon the
person by great many bankers and
business man.
II was the opinion of Mr. Gage,
when Secretary of the Treasury. that
II would be cXpcdient to issue gold
certificates only for large amounts.
That would force gold into circuia-
tion. Americans as a rule do no;
like to carry gold about. If they get
II they redeposit /, rs soon MS pos
sible. But gold certificate for 500
or 81 900 is easily carried about. The
aggregate amount thus disposed IN
various ways upon the person must
II was thought, equal very large
4 sum- That Is essentially hOnrdinc