Bisbee daily review., 1918-08-18
AFTER WAR NECESSITY
DURING RECONSTRUCTION PER- IoD CIVILIZATION WILL FIND IT. SELF MUCH HAMMERED UNLESS MORE PLENTIFUL SUPPLY OF YELLOW METAL ATTAlNABLE

The vital need confronted by the na- tion for more gold, a need that IS world wide and will accentuate in- creasingly as the war draws to a close, and during the initial period of the reconstruction era, is compelling the attention of the leading banking and business minds of the country. At no previous time in the history of the mining industry in the country has there been such an array of financial eyes upon its gold mining districts or any such conception of the value of the industry entirely aside from It's earning power as now exists. There is also general realization that the in dustry must be aided to fullest effic- iency at the quickest possible time. both from necessity as war measure and from utmost urgency as a business preparedness movement for the period after the war. Indicating the pressure that exists and that is being brought to bear is the following statement issued to the mines committee of the senate and house by the American Mining congress:
 "The United States occupies a most enviable financial position among the nations of the world. The gold re- serves of the world are approximately s10,000, ,000, ,000, while the total indebt- edness is being increased to apprOxi- mately SIPS, 100000, ,000. This indebt- edness is being increased at the rate of more than $40,000, 100000 annually Before the war the United States pos sessed approximately one and three quarters billions of dollars in gold. At the present time our reserves have grown to approximately three and one half billions as against an indebted ness at the beginning of the year of SS,000,000, GOO. In other words the worlds obligations are more than twelve times its gold reserves while our own obligations are less than four times our gold reserves. We must not permit the loss of this relative ad- vantage
 Approximately 90 per cent of the worlds gold production comes from the allied countries; 60 per cent from Great Britain and her colonies, 19 per cent from the United States and 6 per cent from Russia. The United States occupies relatively a most enviable position in the world finance, but our war expenses are so rapidly increasing the burden of indebtedness based upon our gold supply, as to command the attention of thoughtful men concern ing our financial stability in the fu- ture, and to call for extraordinary ef- fort in maintaining our gold reserves at a proper ratio.
 During the pre-war period with gradually increasing costs of labor, gold mining grew less profitable as is shown by the falling off of production from S101, ,035,70 in 1915 to SS4, ,456, 600 in 1917. It has been estimated by the best authorities that the produc- tiOn for the year 1918 will be 35 per cent less than during the year 1917 This estimate was based upon the be- lief that the large low grade produc- ing mines would continue operation. Much doubt is felt as to the accuracy of such expectation.
 At a conference of gold operators at Denver it was virtually agreed that with the exception of one mine. every mine in the Cripple Creek district should have stopped two months ago, if directed by good business judgment, and it was further admitted that with one exception, that unless continued for patriotic reasons every mine in the Cripple Creek district would be compelled to stop within three months This reason applies to all of the strict ly gold producing districts of the country, except the very high grade mines which are very few in num- ber
 Secretary McAdOo in a letter to Delegate Sulzer of Alaska, stated that lat no time has this country so much required the largest possible produc- tiOn of gold as at the present Next to food and ammunition. gold is one of the most needed war essentials.
 "We are properly and necessarily spending a vast amount of amOney. There is no practical way of increas- ing the lawful amount of money fin the country. except by digging gold out of the ground or importing it from abroad. Already we have depleted for eign gold reserves to a dangerous