The Wallace miner. [volume] (Wallace, Idaho) 1907-current, 1919-03-20

/ oNAu SNN'9 tiiic anu HnSIst upon II,
That 1t is currently reported tina
japanese banks. foreseeing, fearing
and preparing for the oncomin,
world panic, have called in all loan
and are extending no new credits.
Liberty bonds have sold as low a.
s92.lo in New York and are doomet
to 60 very much lower, now that III,
war is over, unless proper steps are
taken to increase gold production
While the present lamentable none.
tary conditions are not only allowed
to prevail and continue, but the treas
urer publicly announces through his
gold committees: 'Fhat no steps
should be taken to stimulate or pro-
mote the production Of gold"--it Is
idle for the treasurer to request the
people not to sell their bonds;
That the present gold standard was
established two centuries ago and
the worlds business has outgrown It.
That during those two centuries, up
to the commencement of the prescn:
war; owing largely to the splendid
credit Of the great nations the vast
amounts of negotiable paper issued by
those nations and based on gold were
used as so much more gold coin AMI
as medium Of commercial exchange =
in other words, we We're then acting
on the principle that all paper issues
based on gold We're gold, and, in eff
feet, this action afforded us a plethora
of gold and kept gold at falsely low
priceless than its true value for the
worlds uses, as we now plainly see.
For several decades preceding the
present world war insufficient god
was produced to meet the legitimate
requirements of the worlds RAPIDLY
expanding business. In other words
the production of gold had not in
CT eased apace with the worlds in &.
CT easing business, the natural result
being that at the commencement Of
this war the world had already gone
somewhat short on gold for ordinary
uses of the nations in times of peace:
and had the world war not occ ,rred
the time was still fast Apr ,aching
when effective means would have TO
be taken to greatly increase the prj-
duction of gold. The sudden coming
Of world war, and consequent vast
and sudden initiation of paper issues
bp1y bn Sfape1 tho day
In the teeth of the foregoing facts
and conditions the secretary's gold
wrongfully assumed tina;
the high cost Of gold production
would drop down to the pre-war cost
and that the pre-war annual rate Of
gold production would be resumed
ard be all-sufficient The latter con-
,lusion is most openly and VIGOROUSLY
fallacious of all the erroneous concln-
SONS arrived at by the committee
such conclusion to be valid, or rather
anywhere near valid, must assume he
nc n existence of 5000, 00O,000,000 wer
bonds.
In view of the mountain weight of
$500, 900, 100000 suddenly loaded onto
a gold basis already too slender be-
fore the war, the conclusion Is I'M
Questionably forced that resumption
Of only pre-war rate of gold produc-
ton would spell speedy, certain and
absolute destruction of gold standard
in accompanying world panic.
Where financial world panic would
lead to under present disturbed and
conditions Of the worlds
peoples, no man can now foresee nor
estimate.
The foregoing are some Of the ugly
facts and conditions which in all con-
science and loyalty to duty should
have been fearlessly recognized and
considered by the treasur-
er's gold committee, in which case
those facts and conditions would have
plainly forced a logical conclusion
the opposite Of the one ar
no steps should be taken to stimulate
Or promote the production of gold"
AS to our treasurer's committees
attempt to justify it's lame conclusion
oy a somewhat similar conclusion ar
lived at by a similar committee In
England, we wish only to suggest that
he large low grade gold mines Of the
British empire, as compared to those
If the United States, are widely diff
'erent business propositions in that
he ores of the Homestake Of South
Dakota, the Treadwell of Alaska the
Alaska Gastineau, most Of the low
grade mines of California, and similar
ow grade gold mines throughout the
western states run from 81 to IS per
on in gold with an average of not
more than $3.50 per ton; while the
,res of the low grade gold mines of
he Rand Blankets which are the heav-
est producers Of all have gold con-
ent from SO to $40 per ton with an
average of about $3.50 per ton; and
,ur treasurer's gold committee vocif-
evinced it's total innocence Of
my knowledge concerning gold mines
md gold mining by following the Eng
ish report and thereby unwittingly
our own gold miners 70 an
through the committees
anxiety to ape the English-such Is
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