Gold chain

“ The frauds of trade find their way into a greater and greater number of departments and branches. 'Cream of the valley gin,' the 'dew off Ben Nevis,' 'fine crusted port,' 'pure dinner sherry'—we might excuse a bit of exaggeration in the names, provided the liquids themselves were genuine. 'Solid gold chains,' made of an alloy containing only six ounces of real gold to eighteen of baser metal, are now displayed in glittering array in shop-windows; and many 'real gold' articles have only a thin film of gold to cover a substratum of cheap metal. ”

“ Such indestructibility, and facility of being tested, are united in gold; its intrinsic value is great, and its imaginary value greater; so that, partly through indolence, partly through necessity and want of organization, most nations have agreed to take gold for the only basis of their currencies;—with this grave disadvantage, that its portability enabling the metal to become an active part of the medium of exchange, the stream of the currency itself becomes opaque with gold—half currency and half commodity, in unison of functions which partly neutralize, partly enhance, each other's force. ”

“ It is in no way necessary, on account of any intrinsic or inherent quality of gold, that should have that particular metal, and that alone, for money.
It is boasted that gold is a universal measure. Why is it universal? Why is gold accepted in every country of the world? ”

“ The pretence set up for this extraordinary degradation of the gold, was, that our coin might peradventure be exported, in order to be de-silvered abroad, a danger which could have been most readily averted, by leaving out as much gold in every sovereign as was equivalent to the silver introduced, and thus preserving its intrinsic value in precious metal. When the film of fine gold which covers each of our present pieces has been rubbed off from the prominent parts, these must appear of a very different and deeper colour than the flat part or ground of the coin. ”

“ For, to whatever cause the influx of gold may be ascribed, it is unquestionable that the gold has come, and it has needed all that gold, and all the silver that we have coined, to maintain international prices here.
It is admitted by all that gold can not go out except by reason of a rise in this country of the prices of articles of international commerce beyond the prices of the same articles prevailing abroad. It is only then that it becomes more profitable to send out gold in payment for our foreign purchases than to send out commodities—the products of our own country. ”

“ It is then hauled up to the surface, and once a week the dirt is washed, being passed through wooden channels; the gold, being heavier than the stones and gravel, sinks to the bottom of the channel, and is caught by rough battens; the extreme end of the channel covered with a piece of plush retains the very fine gold brought down by the rush of water. From all I can gather, gold costs a considerable percentage of its value, but it has the advantage of being always saleable at a fixed price. Alluvial gold is got with much greater ease than gold in quartz, and is much more profitable. ”

“ The unlimited coinage of the two metals upon a plan so equitable, recognizing as it does their precise market relations from day to day, would enable us to view with indifference the fluctuations of the market, however great, and to whatever cause due. Incidental to this advantage, and second only to it in importance, would be the establishment of a par of exchange simultaneously with the gold-and with the silver-using countries by allowing customs duties to be paid in silver bullion at market prices, or in gold. ”

“ The deposits of gold at the south pole were richer than the wildest reports had represented them. The shipments of the precious metal to America and Europe soon became enormous—so enormous that the metal was no longer precious. The price of gold dropped like a falling stone, with accelerated velocity, and within a year every money centre in the world had been swept by a panic. Gold was more common than iron. ”

“ From those figures it is plain that no continuous, extraordinary yield of silver, such as might warrant the slightest fear of an unnecessary addition to the money volume, is to be expected. On the other hand the continuous drain of gold for use in the arts, as dentistry, gold plate, jewelry, gilding, and articles of decoration generally, is seriously encroaching upon the annual supply. ”

“ The United States, and nearly all the commercial nations, have adopted this standard, and reduced the use of silver to a mere token coinage of less intrinsic value than gold, but maintained at par with gold by the right to be converted into gold at the will of the holder. So that for all practical purposes we may regard gold as the only true standard, the true money of the world, by which the value of all property, of all productions, of all credits, and of every medium of exchange, and especially of all paper money, is tested. ”

“ In his life-time the mints of France and of the Continent were open for the coinage of silver equally with gold, and the money supply of the world was not constantly narrowing by being limited to the yield of a single metal whose annual output would hardly more than meet the demand for the arts. ”

“ Will the people of this country, the financiers of this country, the banks, the moneyed men holding $500,000,000 of gold, with a certainty of the free coinage of silver and going to a silver basis, for that is what it means, put their gold in circulation, or will they hoard it? ”

“ But so much more is this true of gold than of silver, that the dependence of modern commerce, and, through it, modern civilization, upon it is almost absolute. If, therefore, free coinage at a ratio unfair to gold were attempted, gold would cease to be offered at the mints, but it would nevertheless continue in use in final settlements, especially in transactions of some magnitude, thus preventing its decline in value. ”

“ Indeed the signs of the times are, that the bonds of a country possessing the unbounded resources and stable institutions of the United States, payable in gold at the end of thirty years without any interest whatever, would, through the increase of the value of that metal, prove a most profitable investment. ”

“ But even should all our gold go by reason of the remonetization of silver, it will not be to the injury of the gold standard, but to its great advantage, and to the equally great advantage of the masses of the people, as well of this country, which the gold may leave, as of all countries to which it may go. ”

“ But it has added very largely to the use of gold for plate, watches, jewelry, and the like. This greatly increased consumption of gold for ornamental purposes in England and America, and the increased flow of gold to Asia, to be there devoted to the same uses, account for the fact – which to many persons seems unaccountable – that the great amounts of gold taken from the mines have added so little to the amount in circulation as money. ”

“ If the money were all in twenty-dollar gold pieces, it would make a pile 720 miles high, and if the gold pieces were laid on the earth touching one another, the value of the farm products of that one year would make a line of twenty-dollar gold pieces reaching across Alaska, Canada, the United States and Mexico to the Isthmus of Panama, and there would then be enough of these coins left to make a line of gold from New York to San Francisco, and some pieces would fall off into the Pacific Ocean before they were all used! ”

“ When the transformation now going on in India, which is changing her from the silver standard to a gold standard, and when Mexico and South America, and the balance of the world are added to the gold standard, should such be the case, one pinch from that block of gold the size of a gold dollar (one-twentieth of an ounce) will be so valuable that it will not only buy two bushels of wheat, as it does now, but it will then buy four bushels of wheat. ”

“ It will be my constant endeavor to secure it by co-operation with the other great commercial powers of the world. Until that condition is realized when the parity between our gold and silver money springs from and is supported by the relative value of the two metals, the value of the silver already coined and of that which may hereafter be coined, must be kept constantly at par with gold by every resource at our command. ”

“ Supposing the supply of the precious metals at present afforded by the mines to fail entirely the world over, there can be little doubt that all the plate now in existence would be gradually converted into money, and gold and silver would soon cease to be employed in the ornamental arts. ”

“ The limping standard without the gold-exchange attachment may at any time break down, if the silver (or whatever else the overvalued money may be) should become so redundant, relatively to trade, as completely to displace gold. As soon as all gold is driven abroad, parity with gold ceases. But with the gold-exchange system this catastrophe is avoided. In fact, with this system it is not necessary to have gold in circulation at any time. ”

“ He was breathless and speechless for a few minutes, but I at length obtained information that two miners had come across a nugget of gold so large that half a dozen men were unable to lift it from the shaft. I hurried to the spot, and as I went along hundreds of people were flocking to the scene. The news spread like fire upon a prairie. Saloons and rooms were deserted—miners crawled from their shafts—sick men forgot their ailments—even gamblers desisted from playing for a short time, in their anxiety to look at the largest lump of gold that had ever been discovered. ”

“ More liberal granting of international credits, increased international loaning operations, far from putting an end to the physical movement of gold in large quantities,—‌these are influences tending to make gold move more freely than ever. The day of the treasure galleons is over, but in their place we have swift-moving steamers by which gold can be shifted from one point to another with safety and ease. Gold movements seem as though they were to play an important part in the markets for a good many years to come. ”

“ Considering broadly this question of the movement of gold, it is to be borne in mind that by far the greater part of the world's production of the precious metal takes place in countries ranking very low as to banking importance. The United States, is indeed, the only first-class financial power in which any very considerable proportion of the world's gold is produced. ”

“ Not because the gold is wanted for any quality inherent in the metal, but because it is an order for property in gold-using countries, such as England, France, and Germany, whose trade is largely a foreign trade. At whatever rate gold will exchange in England, it will exchange in all countries having trade relations with England, because it is an order for goods in a country with which they are dealing. Will not the money of this country equally, and for like reasons, whether gold or silver, have acceptability in every country with which the United States have trade relations? ”

“ You are not to know all the secrets of my trade as a marine store dealer, which is a highly respectable if not an exalted trade. Now gold, no matter how or where it may be, is worth any man's consideration. The gold that comes my way is never pure. It averages half or little more than half alloy. You are a great chemist. I cannot afford time to separate the gold from the alloy. I cannot spare time to go about and sell it. Every man to his trade; I am a marine-store dealer, you are a great chemist. What will you give me for ingots fifteen carats fine? ”

“ When the gold is brought to the light and given to the commerce of the world, we see it shining in the sun. It is now a part of the wealth of the nation. But do not forget that every piece of gold you touch or see, or stand credited with at your bank, cost some brave man blood, life!
This old Forty-nine, years before, when the camp was young, had found a piece of gold-bearing quartz in a ledge on the top of a high, sharp ridge, that pointed down into the canyon. This was before quartz mining had been thought of. ”

“ In fact, the only people who would have gained, would have been the few who had to receive fixed payments, at the expense of the many who had to make them. The discovery of gold at a time when a liberated and expanding trade was causing an increased demand for the metal was thus a providential coincidence. ”

“ The Esperanza's ostensible cargo of cocoa, rubber, and tropical products was already taken on and stowed. There remained nothing further to do but get aboard by night our real cargo of treasure. Gold is one of the most difficult commodities in the world to handle, because of its small bulk and concentrated weight. ”

“ If you want to guard the business of the country from disturbance by fluctuations of relative value between gold and silver, and if you desire gold to remain a part of your circulating medium at all, you must limit the coinage of silver to that quantity which can be absorbed by the retail trade, and accordingly fix its legal tender character. ”

“ It is absolutely certain that so vast a production should be accompanied with a great reduction in value.
In no direction can a new outlet be seen sufficiently large to absorb the extraordinary production of gold which we are now witnessing, so as to prevent a fall in its value. ”

“ Gold in circulation is doing good work, but gold see-sawing across the ocean is going to waste. The custom of shipping gold from one country to another, in response to the ups and downs of the market rates for foreign exchange, not only reminds me of the forward-and-back movement in a quadrille, but suggests that, as the precious metal is rendered practically useless while in transit, it should not be used in a dance of that kind across the ocean. ”