Gilpin observer., 1917-03-08
INVESTMENT
IN WESTERN MINES

1t is a matter of habit among the
orgarizers Of Western enterprises to
look to the east for funds. The nat
ural thing is to draw upon the great
est reservoirs CT capital. which are
found where the population is large
and the savings of the people exist
in more imposing masses. American
securities have long been known to
seek an outlet in Europe, and only
in very recent times has the stock
control Of many CT this country's
greatest industrials been restored to
American hands. The Euror can war
has driven much of the invested cap
ital of foreigners from our shores.
In the western part of the United
States we find repetition of the
financial history of the east; we
turn to the older and mere densely
populated regions fer the means of
industrial promotion. But we also
find ourselves repeating the tenden-
cies of eastern industrial centers in
cultivating a greater domestic inter
est In our own constructive business;
we are hopeful of developing the To-
cal investment habit among our own
citizens. . 1t is true that there is
certain periodioity in the movements
of western capital toward western en-
terprises, but the tendency is con-
ftnn0,,c tp ov<J 10
in the business affairs OF our own
corporations. At this time the move
ment is especially noteworthy in the
direction of releasing local funds for
local purposes, because of the Euro
pean war and the inflation Of east
ern securities which has been brought
about by the enormous profits that
their holders have derived from the
destruction of property abroad West
ern citizens are investing in mining,
oil and other development enterpris-
es to a much greater extent than
they have since 1907, and in this
they will enjoy the example of that
eastern capital which is turning in
this direction. II we take the Wyo-
ming Oil industry as an instance, we
find that very large part Of the
new money enlisted for development
In those fields is drawn from western
purses. Denver Is emrhaticaNy the
seat OF greatest interest in Wyo-
ming's development. Denver is also
investihg heavily IN oklahoha OF
wells. In the sphere of mining, a
similar tendency is observed. 1t has
recently been noted that the success
full financing Of new developments in
the Cripple Creek district was made
possible by Colorado investors. The
east is following, not leading. Again,
IL we turn to other western states,
we find like condition. In Arizona
a wonderful disposition exists among
the residents to participate in new
mining operations, while the adjoin-
ing state of California is an import
ant financial factor in the develop
ments there. 1t is unnecessary to
add mention OF Utah, Montana and
&ne Northwest. A certain Obllgat1Cn
rests upon the people of new coun-
try or section to supply the needs
CT its development. and the fulfill
ment of this obligation always de-
notes a healthier condition Of bust
ness. AS rule, there is little sem
timent in finance; capital gravitates
toward the greatest rewards. But we
are not lacking in examples of pa
| triotism in the sIhere of investment.
The British government has lately
urged its own citizens to devote their
money to the uses Of home enterpris-
es and bases its appeals upon tn
titanic struggle in which that coun-
try is engaged. Without affecting to
deplore the investment of American
carital in war loans. we are bound
to suggest that 1t is more desirable
that American money and western
money be committed to the work Of