The Coolidge examiner., 1932-08-05


construct Of the holdings of a
single nation-a stack of so of
our gigantic hundred d-milllon-dollar
chips" At the same time France
could have piled up 25 of the great
disks.
From Frances sizable 25 foot
cylinder of gold, the national "tow-
ers" of precious metal fell to very
modest piles. Great Britain, in Sep
tember, 1881, could have built a
stack little more than six feet high:
she could muster gold enough for
only little more than six OF the SUI
per dollars; Spain and Japan, a lit
tie more than four; Belgium, three
and a half; Germany, Switzerland
and the Soviet Union. three; Italy,
the Netherlands and Argentina,
less than three; India less than
two; and Canada, less than one. A
striking fact In regard to the gold
holdings of the countries is that
South Africa, which in the last few
centuries has poduced an amount
OF gold equal to the unprecedented
pile possessed by the United States
last autumn, he'd at that time less
than enough monetary gold to con-
struct one-half of one of the hun
dred million dollar disks.
Gold Supply Changes.
To get vivid idea of the
changes in the gold supply of the
United States, let US imagine all
the gold movements of 1881. and
half of 1882, affecting the United
States to be concentrated around
this country's gold tower" At the
beginning Of 1881, forty-five full su-
per dollars would have been piled
one on the other, while on top
would have been the forty-sixth
golden disk with only tiny wedge
missing. Gradually, net gold I'm
portations would have built the pile
higher. Before the middle OF jan
uary the forty-six disks would have
been complete; by the end of March
there would have been Al; by late
June, 40; and by mid-September, the
towers peak would have been
reached with 80 of the super dol
lars In place.
After the middle of September,
one Of the heaviest gold exporta-
ton periods ever experienced in the
United States set in. An observer
at the mythical tower of gold would
have witnessed feverish activity in
removing the huge disks. In a lit
tie more than a month he would
have seen more than seven of the
mammoth gold units lowered from
the tower and carted away for ship
ment overseas. BY the end of Oc-
tober only 42% of the super dollars
would have remained. Then gold
would have begun to arrive again
at the towers base, from imports,
and the work of building would
have been resumed. BY the end of
1881, more than 1 1-3 of the heavy
disks would have been added to the
tower. bringing 1t to a height of a
little over A feet.
AS a final operation of the year
we can imagine there being hoisted
into place a segment equal to
about third of a super dollar
worth $33, 00,OO0-representing the
gold produced within the borders
of the United States during the
year, less the new gold made into
jewelry and used in other indus
tries and arts. The country's tow
er, then, after its marked fluctua-
tions, would have contained at the
end of the year. 4415 of our super
dollars-roughly one and a quarter
less than when the year started.
Our Holding Varies.
Since the beginning of 1882, five
and a half more of the ''super dol
lars" have left the United States.
! Dring the latter part of June the
United States gold stock had been
reduced to 80 Of the one hundred
million dollar units. AT the same
time Great Britain possessed less
than five, and Frances pile had
grown to 81.
During the past IS years the col
umn that could have been built with
the stock of gold in the United
States at any one time, has risen
and fallen like the mercury column
of a barometer. But in the long
run it has grown higher. At the
outbreak of the World war in 1914
it would have contained approxi-
mately ID of the 100OOO,OOO dollar
disks; at the close of the war. %.
| In 1920 it would have been down to
%; in 1924, up to 43. Back to 40 in
1923, it would have sprung I'D to 45
in 1880 and to so in 1881. The level
at which it now rests is well below
the peak of 80, but 1t is much high
er than at any time in the coun-
try's history, except during the last
eight years.