The Eureka sentinel. [volume] (Eureka, Nev.) 1902-current, 1919-11-22

duction. The fact was recognized by
many more than q year ago and q
movement was started to obtain suf-
ncient relief for the gold miners TO
stimulate its production. For reas-
ons best not told in detail, the effort
tailed and production has continued
TO decline while the necessities for
more gold have multiplied. The prob
lem Is now so acute and of such vital
Importance that its solution can no
longer be deferred without courting
disaster both to the financial world
and the gold mining industry.
How is the necessary increase Of
gold production to be procuredi Be-
cause OF the increased cost of produc-
tion 1t can. only In exceptional cases,
or where 1t is obtained as a by-pro-
duct, be mined at profit. New cap
itai will not venture in gold mining:
hence no prospecting or development
work is being done. This means .
far greater decrease In production In
the near future than has 80 far taken
place.
The high price Of silver has turned
the attention and energies of mining
men generally as well as capital, to
the mining of the white metal. No
where, SO long as the present econ
omic pressure endures, can be seen
any well founded hope for improve
ment In the gold situation unless
suitable legislation be speedily en-
acted to make possible its production
at reasonable profit to the miner.
rhe value of gold as measure of val
ies, as a money metal, the basis Of
credit and a medium of international
exchange cannot be changed without
bringing to earth the financial and
credit structure of the world. It
must follow that the price of gold as
liked by law should not be changed.
The gold mines cannot continue
production at loss. Many of them
laye closed. Others must close be-
fore legislation can be had and the
industry will soon be practically par
alyzed IL assistance is not quickly
provided.
The only hope lies In obtaining
suitable legislation the object and
purpose of which should be to give
such relief to gold miners as will
make certain the preservation of the
mines now opened and 30 stimulate
the industry as to make possible the
development and operation Of new
mines at q profit, to the end that pro-
duction may be sufficiently increased
as to at least meet the annual re-
quirements of the trade. Regarding
this as a temporary expedient neces-
sary for the protection and preser-
yation of both the industry and the
Government gold reserve. very care
fully matured constructive legislation
should be pressed until the industry
shall have been placed in equitable
relation to the Government and upon
sound and enduring basis.
An excise tax on all gold used by
the trade. the proceeds of which shall
be paid to the producers of new gold.
offers, in my opinion, a temporary ex-
pediency of more merit than any pro-
posal so far advanced. Coupled with
this should be the elimination of all
taxes levied upon the production Of
gold, upon all profits derived there
from, and upon all incomes derived
from investments in gold mining.
Other industries have obtained re-
lief and protection through organi-
cation. Last year the gold miners
passed resolutions and organized but
failed to press their case at the ply
Geological moment. They ignored
the American Mining Congress. the
only efficient. lighting organization
| the mining interests Of the country
| has ever had. The movement was
an ignominious failure and should
serve as a warning now and In the
future. Whatever is undertaken
should be done through the Mining
Congress with which we should heart
| lily cooperate and to which we should
give our support to any necessary ex-
tent.
A committee composed Of the alb
lest men in the gold industry should
be appointed and instructed to pre-
pare a bill or bills to be introduced
| in Congress which will serve to meet
the necessities of the situation until
such time as comprehensive construc-
tive legislation may be matured to
70 i'm nnrf-