The Eureka sentinel. [volume] (Eureka, Nev.) 1902-current, 1919-09-13
Cold Mine Industry Threatened
EQgGlG Davis Sounds WARMING



cold production industry of the
limited States two years ago has
not receded and will not cease to
menace the very life of the industry
unless intelligent. constructive ac-
ton is Immediately taken by the
government; domestic production
Of gold in the United States next
wear will fall far short of the de-
mands of the arts. and this will
cause gold coin to be absorbed in
the arts to a serious extent unless
preventive legislation is enacted;
upon a speedy and proper solution
of the problems of the gold pro-
ducers depends the permanent set
tlement of the labor question. the
high cost of living, the curing of in
Aation, financial and industrial
growth and, indeed. the national in
tegrity.
These are some of the points made
in a statement here to-day by Eu-
gene Davis, owner of the Eureka
Croesus and controlling interests in
other large groups of mining prop
critics in this district. Davis sug-
gests the immediate organization of
the gold mining interests and dis
cussion by the men engaged in the
industry of possible remedies for the
present situation. Among other
proposals which he believes should
be discussed is that of an excise tax
on all jewelry, on the pennyweight
basis, for all jewelry sold and for
all gold sold to the dental trade.
This tax, it is suggested. would Gre
ate fund from which could be paid
bounty to the producers of new
gold sufficient to stimulate produc-
ton to the extent of making certain
an annual quantity adequate to sup
ply the trade demand and to protect
the money metal.
SEES DANGER AHEAD
Davis took conspicuous part in
the efforts made last year to obtain
relief for the gold producers. He
has studied the situation thoroughly.
in consultation with other recognized
authorities, and his analysis of the
present condition is certain to at
tract wide attention. His interests
here are mainly in silver and lead
mining, but he considers the solution
Of the gold problem vital to the gen.
eral prosperity and industrial safety
of the nation. His statement fol-
lows:
Dependable data has been col
lected to show that the consumption
of gold by the arts this year will
about equal the domestic production,
and that next years production will
fall far short of meeting the de-
mands of the arts. 1t is apparent,
therefore, that the arts will be driv-
en- to the necessity of drawing upon
the monetary stock of gold to pro-
vide for their requirements if some
adequate means of obviating the
necessity is not speedily found.
MINERS DRIVEN TO WALL
THE greatly increased cost of pro-
ducing gold has curtailed production
to an alarming extent, while the
causes that have brought about this
increase of cost have greatly in
creased the requirements for much
larger than the pre-war normal an
nual production. The economic pres
sure which has resulted in so great
an increase in wages and a corre-
spending decrease in efficiency,
much higher cost of materials. ma
chinery. supplies. freight and smelt-
er charges, has driven the gold min
ers to the wall. Many of them have
been pushed over the wall and are
down and out. while others are keep
ing their mines open by operating at
a loss. suspending all development