The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1916-10-19
Mint Director Says That Yellow
Stream From Export Trade
Fills Americas Vaults.
LIVING COST IS THE PIPER
Declares High Price Of Neces-
sites Is a Creature Of Our
Own Making.

~ With more gold In its vaults, more
money circulated, and the greatest ex-
port trade In history, the United states
today is at once reaping u golden har-
vest and-to mix the metaphor--paying
the piper; the piper being the high cost
of living.
Director of Mint Won Engleken ana
lived the present soaring Of prices In
that way, holding that the very pros
perity of the nation Is responsible for
big prices.
His explanation was:
Export trade brings an unprecedented
uuantity OF gold here. There Is such
a vast demand for goods that prices rise
responsively. More workers than here
tofore are employed, and they are, get
ting larger wages. And, while these
workers supply the goods, their wages,
drawn from the immense store NJ gold.
buy more goods than before. thus help
ing swell the abnormal demand and the
consequent price increases.
Wages Have Not Kept Up.
Wages. he admits. have not fully Kept
pace with prices-as usual. but he hopes
for an altered condition in the future.
THE high cost Of living" hA said. lis
a creature OF our own creation.
'The United States Is normally Dor
rowing nation. Capital utilized for con-
struction In the past mas been recruited
largely abroad. Our economic affairs
consequently have been adjusted to
meet the customary outflow OF money
. required to pay our interest bills in for
eign countries.
1.-THE sudden reversal or this condition.
the retention of interest payments at
n
usual trade conditions, presents an I'M
usual and extraordinary economic prob
lem. For the present we are reaping n
golden harvest, and are spending 1t in
our turn with a prodlgal hand.
MINIS Working Overtime.
1T is to be hoped we will not become
30 accustomed to the present ability to
supply our various personal demands
that we will find-it difficult to read
lust ourselves to the more normal state
Of affairs that will confront us. we
hope, in the very near future"
MINIS are working twenty-four hours
n day trying to keep up with the de-
mands for coins. In the last two years
500. 100000 in gold over the usual Inn
portations has poured into the Cniteu
States. Figures showing the following
relative demand for coins for the per-
iods from January to october II. last
year and this year. were furnished by
Mr.. Won Engelken:
, Dimes-1s15. s65s, 900; 1916. $4,000, 900:
nickles-19l5, $4,000: 1916; $3.50. 900:
pennies-lsl5, s266.ooo; 1916. N.oOs.oco.
Extraordinary Market Condition.
THE gold is sent to this country In
payment for goods purchased" said Mr..
Won Engelken. ut follows then an ex-
traordinary market has opened up for
consumption OF our goods to the extent
represented by gold importations. The
greater the demand for goods abroad,
the less goods we have to supply our
own demands-and as the price is repre-
sentative Of supply and demand, an in
crease in prices necessarily follows.
1.-THE extraordinary demand on THU
country has stimulated industry, and In
many cases the profits are out OF the
ordinary. As a direct result, a greater
number of people are employed at rates
of pay above normal, with the result
that our supply of available goods, al
ready heavily drawn upon by foreign
buyers. Is further called upon to stand
the increased purchasing capacity OF
our own people. condition which
further contributed to advancing the
price OF such things as are demanded
by the people at large"