The Challis messenger. (Challis, Idaho) 1912-current, 1923-03-14
CHALLIS IDAHO, WEDNESDAY, MARCH A. 1923.
GOLD AND SILVER INQUIRY OF
GREAT IMPORTANCE TO WEST

e UNIVERSITY OF IDAHO, Moscow
: March 13-"The appointment by Pres
ident Harding of a senate commission
fgoid and silver inquiry is matter o
very great Importance to the westeri
states" says Dean Francis A Thorn
san of the University of Idaho Schoo
of Mines. 'The personnel of this com
mission, including as it does, Sena
tors Nicholson of Colorado, WALSH
of Montana, and Gooding of Idaho
insures that the problems of the gold
and silver miner will have sympathe
tic consideration and careful investf
CATION at the committees hands.
Idaho. due 10 the production of sill
yer IN connection with her lead ores
most CT which carry about one-half
ounce Of silver to every unite OF lead,
IS vitality concerned with the problem
nth which the commission will bi
concerned. At Talache and at Bayhors
there are also properties producing
silver as their most important out
put.
1T is, of course, well known that the
gold miner, ever since the increase of
prices in 1914. has been facing a ser
ious situation. owing to the fact that
while the price Of all other products
scared to unprecedented levels the
price of gold being fixed by statutory
enactment and International agree
ments remained the same The con-
sideration Of this situation viii be
part of the committees work.
'The situation of the silver miner
had been temporarily somewhat diff
erent, owing TO the fact that early in
the war Great Britain was badly in
need Of silver and arranged VIII tie
United States government for the
purchase Of 20S,0OO00o ounces, the
price of which, after consultation with
the silver producers of the country.
was fixed at one dollar an ounce and
under the Pittman act the United
States mint was authorized to re-pur-
chase an equivalent amount of silver
from American producers at the price
received from John Bull The pur-
chases of silver under the terms of
this act will be completed about Sep
TENDED or October of this year. at
which time, Of course, the price OF
silver in the United States will drop
10 the present world price or perhaps |
even below it, due to the throwing |
of the American silver into the world |
market sa4 1ls - sa.fS
1.-THE world situation in silver Is
perhaps more serious than it has
been for many years. About seventy |
five per cent of the world production
of silver is used as money or as "A |
medium of exchange, about one-third !
being coined and about two-thirds be-
ing used in the form of bullion. Thel
balance of the silver production, or a.
bout twenty-five per cent is used tn
the arts but the situation appears 10
be that when the price OF silver drops
its use in the arts decreases, due 10
the natural human tendency to de
sire the most expensive things. There
appears to be a rapidly increasing
tendency in Europe to decrease. or a
bandon the use of silver for coinage.
for example has debased her
silver coinage from its former stan
lard of 925 fine to 500 fine in oaher
words from coins which were practi-
,ally pure silver to coins which are
,nly half silver. The South American
Countries have done the same thing.
While Germany, France and most of
he other European countries have a.
'andoned silver coinage entirely, sub
paper money. aluminium. or
,ronze. nickel and copper alloys as
heir substitutes. Even in the United
states the use of paper money IN one
nd two dollar denominations has
cen rapidly increasing due. to thee
ttitude of the treasury officials
Another disturbing tendency of
he silver market lies in the fact that
lie world price for silver isarrangetS
London. although North America
reduces so per cent of the worlds
liver. England's interest in low
liver price is due to her great orfen-
i possessions and trade IN the
rient an ounce of silver is practrcar
the standard of value, consenuest1v
e lower the price the greater the
mount Of labor or commodities
hich the British merchant can psr-
'aSa7s -. the ccvient Arot'sS~ mr.
mt factor is that with the disturbed
,litical conditions in the Orient
reat Britain feels that she must al
avs be readySto redeem with silver
e large issue of paper runees in In
a. 1t will be the problem of the
nate commission to investigate ell
these factors and to endeTvod so
= as possible TO interyiew foreign
'vernments and foreign users of sill
II and see what may be done in
lief of the plight which the silver
iners will be in at the end of this
ar.
Comparatively little silver is, of
urse, produced by itself. most of it
ing produced in connection with