Report of the Director of the Mint

1875

REPORT OF THE DIRECTOR OF THE MINT.

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REPORT .

OF THE DIRECTOR OF THE MINT.

OFFICE DIRECTOR OF THE MINT, Treasury Departments Noveniber 20,1875. SIR : In compliance with the provisions of the coinage act of 1873, I have the honor to submit the following report of the operations of the mints ^nd assay-offices for the fiscal year ended June 30, 1875: The amounts of gold and silver deposits and purchases, coins struck,, and bars manufacturedg were as follows:

DEPOSITS AND PURCHASES. Gold deposits - ^3,152, 584 50^ Silver deposits and i^urchases. = 18,304,406 07 Total amouiit received and operated upon 61,456,990 57 Deducting re-deposits—bars made and issued by one institution and deposited at another—the deposits were: Gold $38,556,293 90 Silver 16,070,626 54 Total 54,626,920 44

COINAGE. Pieces. Value, Gold 1,739,062 33,553,965 00 Silver 22,823,216 10,070,368 00 Minor 14,629,500 230,375 00 Total 39,191,778 43,854,708 00

Fine gold $5,279,477 46 Unparted gold 10,740,402 47 16,019,879 93 Fine silver 5,231,915 90 Unparted silver ! 1,719,665 96 Sterling •. 77,848 68 7,029, 430 54 Total gold and silver 23,049,310 47 The distribution of the gold and silver bullion deposited and pur chased, including redeposits, was as follows:

MINT, UNITED STATES, PHILADELPHIA. Gold deposits , $5,636,376 01 Silver deposits and iDurchases 4,168,412 22 Total 9,804,788.23

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294 REPORT ON THE FINANCES.

MINT, UNITED STATES, SAN FRANCISCO. Gold deposits 26,335,100 52 Silver deposits and purchases 5,154, 297 38 . Total ^ 31,489,397 90 MINT, UNITED STATES, CARSON. Gold deposits 2,540,057 59 Silver deposits aud purchases r - • 3, 030,910 73 Total : 5,570,968 32 MINT, UNITED STATES, DENVER. Gold deposits... 909,011 02 Silver deposits . 83,108 47 Total, 992,119 49 UNITED STATES ASSAY OEFICE, NEW YORK. Gold deposits i -... 7,608,463 91 Silver dexiosits and purchases ^ -.. 5,866,783 21 Total 13,475,247 12 UNITED STATES ASSAY OFFICE, CHARLOTTE, N. C Gold deposits »- - 6,562 12 Silver deposits ^ »- 127 91 Total. 6, 690 03 UNITED STATES ASSAY OFFICE, BOISE, IDAHO. Gold deposits.. 117,013 33 Silver deposits. 766 15 Total,,. -. 117,779 48 The coinage at the different mints during the fiscal year was as. fol lows:

Description. Pieces. Value.

MINT UNITED STATES, PHILADELnilA. Oold coinage ° 278, 258 $5,162, 870 Silver coinage; (trade-dollars)....' 476, 800 476, 800 Silver coiuage, (subsidiary coin) 11, 010, 400 3,168, 710 Miuor coiuage ' 14, 629, 500 230, 375 Total. 26, 394, 958 9, 038, 755 MINT UNITED STATES, SAN FRANCISCO. Gold coinage 1, 330, 000 26, 200, 000 Silver coinage, (trade-dollars) » 3, 379, 000 3, 379, 000 Silver coiuage, (subsidiary coin) 4, 895, 000 948, 000 Total . 9, 604, 000 MINT UNITED STATES, CARSON. Gold coiuage . 130, 804 2,191, 095 Silver coiuage, (trade-dollars) 1, 841, 700 1, 841, 700 Silver coinage, (subsidiary coin) 1, 220, 316 256,158 Total 3,192, 820 4, 288, 953 Total coinage. 39,191, 778 43, 854, 708

The bars made and issued at the mints and assay offices were as fol lows: ^ MINT, UNITED STATES, PHILADELPHIA. Fine gold bars .. $40,713 92 Fine silver bars . 278, 072 74 Total. 318,786 66

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DIRECTOR OF THE MINT. 295

MINT, UNITED STATES, SAN FRANCISCO. Unparted gold bars • 9,624,439 39 Unparted silver bars 836,841 73 Total 10,461,281 12

MINT, UNITED STATES, CARSON. Unparted gold bars 83, 376 61 Fine silver bars 344,728 10 Unparted silver bars 798,821 70 Total o 1,226,926 41

MINT, UNITED STATES, DENVER. Unparted gold bars 909, Oil 02 Unparted silver bars 83,108 47 Total 992,119 49

UNITED STATES ASSAY OFFICE, NEW YORK, Fine gold bars 5,238,763 54 Fine silver bars 4,609,115 06 Sterling bars..... '. 77,848 68 Total , 9,925,727 28

UNITED STATES ASSAY OFFICE, CHARLOTTE, N. C. Unparted gold bars 6,562 12 Unparted silver bars 127 91 Total 6,690:03

UNITED STATES ASSAY OFFICE, BOISE, IDAHO. Unparted gold bars ' 117,013 33 Unparted silver bars : 766 15 Total...... 117,779 48 Compared with the previous year, there was an increase of $3,182- 254.76 in the amount of silver operated upon—$4,086,766.70 in silver coinage and $181,631.36 in silver bars.

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EARNINGS AND EXPENDITURES. CO

Mints. Assay ofl&ces.

6 ..s o TO i Total. p 1 s s 1"o 1 © 1 rP o ri 1 o PP EARNINGS. $7, 437 -47 $51, 643 76 114, 423 47 $73, 504 70 Parting and other charges 4, 562 94 51; 035 34 50, 067 41 |1, 240 OS $81, 280 35 $265 89 $268 67 188, 720 68 frain hv coinasre of subsidiarv silver coin 218, 745 13 54, 249 70 22, 332 17 295, 327 00 O 140, 778 81 140, 778 81 381 22 18, 043 04 20,515 01 38 939 27 H Kesidue fluxes and sweepings i 1,893 64 2, 019 43 1,137 94 610 45 264 25 5,925 71 Medal nrofits 5, 717 16 5, 717 16 O 371 64 *34, 660 90 35, 032 54 156 25 305 00 461 25

Total 379, 672 62 159,319 87 106, 004 03 1, 850 53 136, 761 26 .530 14 268 67 784 407 12"

EXPENDITURES.

Regular ordinary account. Salaries ...... 37, 300 00 25, 604 37 24, 235 57 10, 400 00 ..$3,319.33 35,650 00 3, 300,00 6,-800-00 146,609-27 Wages 1.37,156 54 277, 835 09 101, 36'9 07 15, 385 00 2, 380 00 72, 556 89 315 50 2, 534 92 609, 533 01 Coutin<^ent . .. 69, 562 13 77, 983 37 98, 344 41 4, 426 19 4, 023 01 60,199 07 725 04 3,137 42 318,400 64 o Ereio"ht 15, 230 69 15,230 69 . . .Minor coinage account. 92, 062 26 92, 062 26 13, 2.52 12 13 252 12 Erei o"h t . . »».. 10, 851 98 10, 851 98 7, 966 79 7, 966 79 Difference between assay value of sweeps sold and amount realized 2, 707 09 3, 344 42 3, 553 80 3, 658 71 13,264 02 Grold and silver wasta^^e 3, 504 34 2, 482 44 4, 513 44 10, 500 22

Total 389,593 94 387, 249 69 232, 016 29 30, 211 19 9, 722 34 172, 064 67 4,340 54 12, 472 34 1, 237, 671 00

* Besults chiefly from partible nietal in deposits, not containing a suflacient percentage to defray the expense of parting them individually for tbe depositors, and whicb Digitized for accrueFRASERs to th e Grovernment by parting in tbe aggregate. http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1875

DIRECTOR OF THE MINT. 297

Uquiiwient of a refinery in the mint at San Franeisco, enlargement of the melting and refininy facilities in the United States assay office at New- Yorlc., and increased coining facilities at the mints in Philadelphia and Carson, The original xilans for the new mint edifice at San Francisco, and according to which it was constructed, contemplated the use of the nitric acid process for refining. When the building had been completed and occupied for coining operations, it was thought that the space allotted for the refining was sufficient for the employment of the sul phuric-acid method, but after the plans and drawings for the same had been prepared, it was found tbat a sufficient capacity could not be obtained, or the iron portions of the rooms secured against serious in jury from sulphurous acid gas generated and emitted duringthe refining operation. After an exhaustive examination of the subject, it was de termined, with your approval, to equip a nitric-acid refinery, with cer tain modifications and improvements, having for their object increased efficiency and reduced cost of separating (usually termed refining) of the precious metals. The arranging of the plan of the refinery and its equipment was in trusted to Eobert E. Eogers, professor of chemistry in the University of Bennsylvania, whose eminent qualifications as a chemist and'metal lurgist, rendered him peculiarly qualified for this service, and who per formed the duty assigned him in an entirely satisfactory manner. Tho refinery has been in successful operation since the 26th day of August last, and with much advantage to the public interests. The business of the assay office in New York has increased to such an extent during the last two years, as to render necessary the occu pancy of the rooms in the Wall street building, which have until re cently been rented to banking firms. These rooms have been altered, repaired, and otherwise put into condition for the purposes to which they are hereafter to be devoted, and the capacity for melting and refining bullion has thereby been doubled, and the office is better adapted in many respects for the convenient transaction of its business. ' A careful examination by the Supervising Architect of the Treasury,, of the rear building, in which refining by sulphuric acid has b'een carried on for a number of years, having developed the fact that the iron beams- were corroded by sulphurous acid gas to such an extent as to weaken them and render additional supports necessary, the latter have been provided and put in place by the officer referred to. The duplication ofthe coining machinery at the mint in Carson,, for which an appropriation was made two years ago, has been com pleted and the coining capacity doubled. At the mint in Philadelphia,, the annealing caxiacity having been found too limited, two additional furnaces have been erected, and the coining capacity thereby increased. With these improvements the mints and assay offices are in a very efficient condition.

ADDITIONAL VAULT FACILITIES REQUIRED. The experience of the last year has demonstrated the insufficiency of the facilities of the Treasury and its offices for the convenient and safe storage of coin, particularly in the Western States, and more silver coin has of late been retained in the custody of the mints than could be properly cared for. In view of this fact aud the increased amount of coin which will have-

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298 REPORT ON THE FINANCES.

to be stored iu the Treasury offices in different parts of the country before specie payments shall have been resumed, it is suggested that the Iirovision of additional vaults should be undertaken at an early day. PREPARATIONS FOR COINAGE AT NEW ORLEANS. Under the provisions of the act of Congress apxiroved June 20, 1874, the mint at New Orleans has been prepared for re-opening as far as the linaited appropriations therefor would permit, and it would now be Xiracticable to conduct thereat the operations of melting, assaying, and stamping of bullion; but the appropriations having been made for the purxiose of re-opening the establishment, "to be conducted hereafter as a mint subject to the provisious and restrictions of the coinage act of 1873," do not authorize it to be conducted as an assay pffice. Estimates for the appropriations necessary to carry into effect the provisions of law above referred to will be submitted for your consid eration and such action as you may deem proper.

THE TRADE-DOLLAR. In the latter part of the year 1872, it became apparent that the change in the German monetary system, and other causes affecting the demand and supply, would produce a serious decline in the value of silver *and injuriously aff'ect our silver mining interests. To provide a market for the silver mined in the western portion of our country, a coin of a standard likely to make it acceptable in China was authorized early in the following year, 1873. About two years afterward, January, 1875, a law looking to the substitution of silver for the xiaper fractional currency was enacted. Upon a superficial exam inatiou the trade-dollar may be supposed to interfere with the x^lan of substituting silver for the fractional currency ; such, however, is not the case, its coinage not having the least effect on the general market- price of silver. The real eff'ect is to make something of a local market at San Francisco, and if our annual production of that metal was not more than the mints could coin, the silver production of the Pacific €oast would command slightly better rates; but the fact is, the coining- capacity of the mints for silver coins of less denominatidn than the dol lar is not equal to more than half the production, and two years' yield of the mines will, it is probable, furnish sufficient silver to manufact ure all the fractional coins^that can be advantageously used in the country. After the redemption of the fractional notes, silver coins, with the exception of the trade-dollar, can only be issued under the coinage laws in exchange at par for gold coins; and as this limitation will be a bar- .rier to their excessive coinage, the demand for bullion for that purpose, must, after two or three years, be quite small. The coining rate of silver in trade-dollars is $1.14y2Q8- per standard ounce. Deducting the charge of IJ x^^^* cent, on the nominal value (equal to ly^^^ cents per ounce) gives a return to the depositor in that coin of nearly 113 cents per ounce. The fact that the average xirice of silver purchased for the NOTE.—$1,000,000 in gold coin weigh 53,750 troy ounces, or 3,685.71 avoirdupois pounds; equal to, at 2,000 pounds to the ton, 1 ton 16 cwt. 86 pounds. $1,000,000 in trade-dollars Aveigh 875,000 troy ounces, or 60,000 avoirdupois pounds; equal to, at 2,000 pounds to the ton, 30 tons. $1,000,000 in subsidiary silver coin, (half and quarter dollars, 20-cent pieces, and dimes,).weigh 803,750 troy ounces, or 55,114.28 avoirdupois pounds; equal to, at 2,000 pounds to the ton, 27 tons ll cwt. 14 pounds.

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DIRECTOR OF THE MINT. 299

fractional c"6ins has been only 111-/^ cents'per standard ounce, x^i'oves that the trade-dollar coinage.has not influenced the price to any xiercexi- tible extent. The Comstock bullion, which has San Francisco for its natural market, consists, on the average, of twenty-one parts by weight of silver to one of gold. The two metals must be separated or parted before either can be brought to the legal standard for coinage. The most economical liroportion for the parting operation being two parts by weight of silver to one of gold, the Comstock bullion admits of gold containing a small xiercentage of silver, being added and refined with but trifling expense compared with that which would be incurred if fine silver had to be purchased and added to such gold to bring it to the proper pro- Xiortions for refining. This class of bullion is, for this reason, a favorite in the London mar ket, where gold contaiuing a small percentage of silver constitutes prin cipally the xiartible bullion received, and a higher rate is paid for it there than for fine silver. Formerly this unparted bullion w^as nearly all shipped direct from the mines to London, but the coinage of the trade-dollar and repeal of the charge for coining gold have caused it, during the present year, to be refined aud minted in the United States. Ultimately China must have a national coinage of silver, and in the mean time a more extensive use of the silver coins of other countries will be found advantageous not only to the Chinescj but to foreign residents at the different ports. The American trade-dollar has been well received in that emx)ire, and if authority were given to coin at our western mints five, ten, twenty, and fifty-cent xiieces of the same standard, they would no doubt find a ready market at the diff'erent commercial ports, and gradually work their way into the interior of the empire. If this trade-coinage should incidentally aff'ord protection to our mining interests, which have already been injuriously affected by the fall in the value of silver, it could hardly be regarded otherwise than as sound national policy.

PURCHASES AND COINAGE OF SILVER. The first section ofthe act of January 14, 1875, for the resumption ot specie payments, authorized and required the Secretary of the Treasury, to cause to be prepared as rapidly as possible, silver coins for the redemption of the fractional currency. The purchases of silver-bullion for this purpose from January 14 to October 31, 1875, have amounted to $9,183,417.37, at an average price, with the refining charge added for the I)or6 bullion, of 111^% cents per ounce standard. The average price of silver iu London during the same Xieriod has been 50.99 pence per ounce, British standard, which, reduced to United States standard and money, gives 112j% cents. The following statement exhibits the purchases made to October 31, 1875, and a comparison of rates paid with London quotations:

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300 KEPORT ON THE FINANCES.

Purchased by the United States. Lonclon rates. "3 i 8 Equivalent iu TJ. ta S. coiu per i .9 • standard ounce.

• O 03 Date. Amount. 05 ©.^ fcJ} • o q • p.ca Fine > 0) silver. 1 8 fl m 1

1875. Dolls. Cts. cl. f: m. Pence, Pence. d. c. on. d. c. m. d. c. m. J&n. to Sept. 18. 1, .310, 718 31 1 11 3 .56 9-16 1 11 5 0 0 2 Feb. 13 490, 536 12 1 13 1 57^ 1 13 4 0 0 3 Feb. 20 82, 720 21 1 12 5 57,V 1 13 4 0 0 9 Feb. 25 927, 500 00 1 12 9 57| 1 13 4 0 0 5 Apr. 6 624, 999 00 1 12 5 57lM6 1 12 8 0 0 3 Apr. 23 426, 921 13 1 13 8 571- 1 13 9 0 0 I May 28 .... 248, 000 00 1 11 6 1 11 7 0 0 1 June 7 493,828 17 1 08 9 m I 09 ri 0 0 6 Aug. 30 2, 036 17 1 09 1 56| 1 11 9 0 2 8

Pine silver...... 4, 607, 259 11 *1 11 7 ^56. 9 *1 12 3 *0 0 6 I ol 1 per ct..

Mar. 15 1, 024, 599 56 1 13 S 571 1 13 9 0 0 1 Marcli 17 191,106 78 1 12 7 57 15-16 J 14 2 0 15 Apr. 2 204, 497 81 1 12 7 57 13-16 1 14 0 0 13 June 1,437.126 34 1 09 3 56 15-16 1 12 3 0 3 0 June S 1, 425, 604 38 1 07 1 56i 1 10 7 . 0 3 6 July 2 499, 928 78 1 08 4 56 1 10 4 0 2 0 Aug. 21 489, 237 96 1 09 1 .56 13-16 1 12 1 0 3 0 Auo- 26 386, 707 44 1 09 1 57 1-16 1 12 5 0 3 4 Aug. 28': 1, 056, 868 HO 1 09 1 57 1-16 1 12 5 0 3 4 Aug. 30 642, 228 54 1 08 9 57 1-16 • 1 12 5 0 3 6 Aug. 31 611,675 31 1 08 9 57i 1 12 7 0 3 8 Sept. 2 •81, 213 87 1 08 0 57 3-16 1 12 8 0 4 8

Dor6t 8, 050, 795 57 U 09 7 *57. 06 *1 12 5 *0 2 7 2^ per cent.. Total 12, 658, 054 68

* Average. t Deducting gold contained in Dore bullion, ^3,474,637.31, tbe amount of silver purchased up to Octo ber 31,1875, has been $9,183,417.37. NOTE.—The Dor6 bullion was- refined or parted on account of the Uuited States at an average cost ol 1^ cents per ounce. The purchases w^ere commenced soon after the passage of the act, and continued from time to time, as was required, for the economical working of the mints; the quantity proposed to be purchased, and limit of xirice to be paid having been in each case first submitted to the Secretary, and his axiproval obtained. In making these purchases, the condition of the bullion and exchange markets was carefully inquired into, the London rates ascertained, and the respective superintendents instructed to pur chase at the lowest market rate, and not above the limit authorized. The coining rate of the fractional silver coins being 124Y^JQ^^Q- cents per standard ounce, and the average cost of the bullion lllj% cents, the seignorage or gain on its coinage will be 13 cents per ounce, or about 12 per cent. The fractional silver coin manufactured during the same period was as follows: No. of pieces. Value. Half-dollars 10, 535,200 $5,267, 600' Quarter-dollars -- 4,260,200 1,065,050 Twenty cents 1,253,590 250,718 Dimes 12,375,400 1,237,54a Total •...- 28,424,390 7,820,908 The coinage of these pieces for the month of November may be set doW'U at $680,000, and the amount in theTreasury and mints on the 31st

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DIRECTOR OF THE MINT. 301 -of January, 1875, at $1,500,000; which amounts, added to the coinage from February 1 to October 31, 1875, inclusive, would give a total of about $10,000,000. The amount of sih^er coins exchanged at xiar for gold during the fiscal jear was $20,425.37; the difference between the cost of the silver coins and their nominal, or tale value, being a gain to the Treasury.

REDEMPTION OF FRACTIONAL PAPER-CURRENCY IN SILVER COINS. The Xiolicy of the redemption of the fractional paper-currency in sil ver coin ih advance of gold-resumption has been discussed to some ex tent, and various suggestions made as to the practicability of the scheme. So far as the measure was x>i'edicated upon an expected favorable con dition of the silver-market, the result has thus far been satisfactory, and will no doubt continue to be so in the future; but the appreciation in the value of legal-tender notes (which is also necessary to insure a favorable result) has not taken place; on the contrary, the average value of the paper-currency has been lower since than it was at the time of the pas sage of the act, and this notwithstanding the fact that about $9,000,000 in legal-ten der notes have been withdrawn and canceled. To state the causes of the increase of the gold xiremium, or decrease in the value of United States notes, would involve a review of the con- -ditioii of the various industries of the country, its finances, bur foreign indebtedness, and the state of the principal money-markets of Europe, wiiich cannot be properly undertaken in this report. • It may be stated, however, that some of the causes may be regarded as of a temporary character, aud that certain contingencies connected with the money- market and gold-supx)iy have tended to place the limited amountof coin in.this country, other than the Treasury stock, almost entirely within the control of speculation, thereby rendering its price somewhat arbi trary. This state of affairs was intensified by the recent financial disturb ances on the Pacific coast, where gold constitutes the circulating- medium, and bythe temporary interruption of the supply of bullion from the largest producing mines of the country, caused by the destruc tion by fire of the hoisting and other works of these mines. A very gradual contraction of the legal-tender notes and a moderate .revival of business will, it is probable, by the time the necessary stock of'Silver coin to commence the redemption can- be prepared, reduce the gold-premium to such a point as will insure the success of the measure. The depreciation of United States legal-tender notes, which com menced soon alter their issue took xilace, caused the silver coins to be exported, and rendered the employment of a substitute necessary. The issue of fractional notes was undoubtedly preferable to the debasement ^of the silver coins, but their permanent use is neither desirable nor prac ticable. The annual issue being about $36,000,000 ou a circulation of from $40,000,000 t6 $45,000,000, shows the average life of these notes to be, saj^, fifteen months. The estimates of the Treasury officers having charge of the business .show the necessary expense of maintaining this currency, during the last fiscal year, to have been $1,410,746. This does not include the expense •attending the handling of the fractional notes at the different subtreas uries and depositories, all of which receive them for redemxition, and which, if added to the expenses incurred at- the Department, would probably show the total cost of maintaining the fractiona.1 currency to

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302 REPORT ON THE FINANCES. be equal to about 5 xier cent, on the annual issue, and corresponding with the interest on the amount of bonds which may have to be sold to procure, say, $36,000,000 (gold value) in silver-bullion for coinage, and which would give silver coins of the nominal value of $45,000,000. IsTotwithstanding the expense incurred, and the care which has been exercised by the Government, to renovate and keep the fractional cur rency in good condition, it is well known that a large percentage of the notes in circulation, particularly in localities not convenient to banks, are deteriorated to an extent rendering them quite unfit for use. It has also been counterfeited to a much greater extent than coin, and the detection of the spurious notes is infinitely more difficult than counter feit coins. The loss to the public from this source must ultimately be very considerable. The '* wastage,-' as the small xiercentage of these notes w^orn out or destroyed while in circulation may be x)roperly termed, falls mostly upon a class of people the least able to bear it. It is no satisfaction to a man who suffers the loss of a tenth of his day's wages by receiving a 25-cent note which no one will accept from him in xiayment, to be told that it reduces to that extent the expenses of the issue of such money by the Government of the United States. The exxiense of manufacturing the subsidiary silver coins is estimated by the mint officers at from IJ to 2 per cent., the rate being less when the mints are worked to their maximum capacity. The total expense attending the manufacture of the coinage of the last fiscal year ($43,854,708) was $889,370, or about 50 per cent, of the expense of main taining the fractional currency. In this estimate the seigniorage real ized on the silver and minor coinage ($436,105.81) has not been considered as reducing the cost of coinage, the same being regarded as a gain to the Government, and not an earning by the mints. The rule of the principal countries is to redeem iu kind the subsidiary silver coins when worn to an extent rendering the inscriptions illegible. A long period, probably fifty years,* would elapse before any considera ble portion of a new issue of silver coins would diminish in weight by abrasion to an extent sufficient to require their withdrawal. The advan tage in this respect of silver coins over paper fractional currency is so great as not to admit of comparison. Moreover, their bullion-value, when presented for exchange for new pieces, would, of course, be the same, or nearly so, as when issued, less the loss by wear. The seigniorage or gain to the Treasury on the subsidiary silver coins will be from 10 to 12 per cent., and more than sufficient to defray the necessary expenses of coining, distribution, and maintenance in good condition. It is a well-settled principle that the "change" currency, iu order to remain in circulation, must be inferior in intrinsic value to the standard coins. If of the same value, ot convertible into such coins, it would, whenever the standard money became scarce, be presented for conversion at a rate that would withdraw it for a time from circulation, and thereby subject the public to great Inconvenience. The divisions ofthe dollar, or change-money, being constantly handled, are more rapidly worn than the larger denominations. Paper is, there fore, a very defective material for such money, and the expense of ren ovation being so great, the iirovision of law for the withdrawal of these * The result of careful observation and experiraents in this country shows the aver age diminution from natural abrasion of the whole body of silver currency, when in actual circulation, to be about 1 per ceut. in twelve years ; quarter-dollars aud dimes show^ing a greater percentage than half-dollars.

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DIRECTOR OF THE MINT. 303

notes and substitution of coin is undoubtedly judicious. Silver has been adopted for such a currency by the principal countries, the coins being stamped at a valuation sufficiently above their bullion-value to render them inexxiortable in the ordinary fluctuations of bullion and exchange. NOTE.—The following memoranda are gathered from the laws and regulations of different countries as to the renovation and calling in of worn subsidiary coins.

Great .Britain. * * * i' The silver coinage is issued through the medium of the .Bank of England, who are able, as in the case of gold, to judge from the amount in their possession, and the demands made upon it, at what times and in what quantities fresh supplies will be required for circulation. As, however, silver is a token coinage representing more than the intrinsic value of the metal used in its manufacture, it is coined for the profit of the state, and not from metal brought in, as in the case of gold, by the public. Silver bul lion for coinage is purchased with sums advanced to the master ofthe mint, from time to time, from the consolidated fund, by the treasury, under the ninth section of the coinage act. ^' The advantage of making silver a token coinage has been shown in a former portion of this report, and it is evident that if under the existing law silver were coined on de mand for persons bringing it to the mint, the profit on the transaction would hold out so great an inducement to the public to offer it for coinage as to lead in a short time to an inordinate amount of coinage, and to the consequent depreciation of that part of the currency. This profit, then, levied as a seigniorage with the object already mentioned, accrues as of right to the state; but, on the other hand, it becomes equally the duty of the state to withdraw from circulation, at its own expense, all silver coins which may become w^orn and i\nfit for further use. This withdrawal is effected through the Bank of England, who undertakes the ^garbling' or sorting shillings and sixpences, and of returning the worn pieces periodically to the miut. The worn coiu is received by the mint at its nominal value, and a vote of £15,000 a year is annually taken in the mint- estimates for the loss on its recoinage. ''So. far as England is concerned this arrangement insures a constant supply of good silver coin, and the withdrawal of coins which have become unfit for circulation. * *• * "• There is no least current weight' for silver coins,' As silver is a token coinage, the withdrawal of silver coin is undertaken by the state." * * ^ —British Mint lieport, 1870.- ; Monetary treaiy concluded December 23, 1865, between France, Belgium, Italy, and Switz erland. « # # u The small silver coins must be withdrawn from circulation as soon as they have lost by abrasion 5 per cent, below the legal allowance. The pieces are to be recoined by the government issuing them, when they shall have been reduced by usage 5 per ceut. below the minimum, or when their stamp shall have been effaced." * * * German empire. * * * ''National silver, nickel, and copper coins which, by long circulation or use, have lost considerably in weight or imprint, will be received in national and local depositories, bnt must be withdrawn at the expense of the empire." * * ^ —Mint laiv of July 9, 1873. • • Monetary convention between the King of Norway and Siveden and the King of Denmark, May 27, 1873. "ART. 10.— * « # Subsidiary coin ceases to be legal tender of payment, relative to the state funds, when so worn as to be no longer capable of identification in so far as regards the country by which it was issued, but relative to all other parties when the inscription shall have become disfigured, or when it shall have been rendered indis tinct by abr sion. "All coin having ceased to be deemed legal teuder of payment relative to private funds and parties, shall be withheld from circulation after having been paid into any of the state funds. . The same rule apiDlies to silver coin which shall have been reduced over 4 per cent, below its standard weight." ^ • ^ * Monetary system of the Netherlands. * * * " 6,7. There is no law requiring the withdrawal from circulation, coin whose value is diminished by wear. However, the accounting-clerks are authorized, by a decree of the minister of finance, to reserve coins which have been returned in so defaced a condition that they can no longer serve as a circulating medium. " These coins are replaced by new ones at the expense of the state." * * *

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INCREASE IN THE LEGAL-TENDER OF SILYER COINS SUGGESTED. The subsidiary silver coins and the trade-dollar are by law a legal tender to the extent of five dollars. The xn'opriety of increasing the amount to ten dollars is suggested for the consjideration of the Secre tary of the Treasury.

THE COURSE OF GOLD AND SILVER. The princixial money-markets of the world have been occasionally dis turbed during the last three years, aud the margin of the exchanges has been such as to afford a wide field for speculation. In seeking for the causes of these disturbances, it would appear, at first glance, that the supxily of gold is unequal to the legitimate demands of the rapidly- increasing commerce of the world. A careful examination of the sub ject, however, will show that the monetary troubles have not been caused by insufficient suxiplies of gold, but by its having been withheld in large sums from circulation, and the diminished use of silver as mo ney. It will be of some interest to note the events and circunistances which have caused this abnormal state of affairs. - In 1871, provision was made by law for a new money-system in the German empire, the princiiial features of which were the-establishment of the exclusive gold standard, the demonetization of silver, and the issue of national coins, involving, as a necessary consequence, the with drawal of all gold and silver coins then in circulation or held as treasury and bank reserves. The amount of silver coin in the empire, at the time of the enactment of the new monetary-law, was estimated by the best authorities at about $350,000,000. It was expected that two-thirds of this amount would be exported to neighboring countries, aiid the balance converted into sub sidiary coin. The natural markets for this surplus were the Netherlands and those countries having a double standard, fbr the reason that silver has there a fixed rate to gold in the legal-tender coins. In proportion to the fall in the price of silver which immediately commenced, the silver <3oins of the Netherlands and the five-franc piece of France, Belgium, Italy, and Switzerland became depreciated to an extent which enabled exchange dealers and sxieculators.to largely import silver for coinage, and these coins entering freely into circulation soon caused gold to be exported. The countries referred to became alarmed, and measures were taken by them to prevent a further influx of silver at the expense of gold.. The Netherlands temporarily closed its mint, and France, together with her monetary allies, limited the manufacture of * legal-tender silver coins at their respective mints to a total of about $28,000,000 for the year 1874, and the same amount for 1875 ; the contingent for each year being about as follows :

France.... 60,000,000 Belgium .... 12,000,000 Italy : 60,000,000 Switzerland.. 8,000,000 * The words "legal-tender silver coins" refer to coins that are by law unlimited legal tender, and not to subsidiary or token silver coins which are purposely over valued, issued on government account only, and limited as to issue and legal tender.

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DIRECTOR OF THE MINT. 305 The closing of the Netherlands mint was followed by the enactment of a law which authorized the coinage of a legal-tender gold piece, and Xirohibited the coinage of silver, except for government account. These measures were skillfully taken, and closed the door against silver, and correspondingly, opened it for gold. The delay in completing the great nionetary reform in Germany must be attributed mainly to the action of the neighboring countries in prac tically closing what was expected would be the best and largest markets for silver. Under the former money system, Germany was a purchaser of silver; but when the change from the silver to the gold standard took place, ceased to be so and became a large seller. The condition of the State Bank of. Eussia would axipear to indicate that the prospective fall in silver had caused some uneasiness at St. Petersburg, and that protective measures hM beeu taken, from the fact that the Bank held on the 1st of January, 1856, 67,897,561 roubles^ gold, and 45,234,372 roubles, silver; .and on July 22, 1874, 194,049,231 roubles, gold, and 23,315,329 roubles, silver. Notwithstanding the large amount of specie received in payment of the French indemnity, Germany has, from time to time, since 1872, been a purchaser of large sums of gold, and the manufacture of the new stand ard national coins has already amounted to about $285,000,000. The coins, however, have not gone into general circulation to the extent originally expected, for the reason that the old standard silver coins which are interior in value continue, under the xirovisions of the new monetary law, to be effective^ money in payments. Gold has, cherefore, to a large extent been held in the vaults of the imperial treasury, mints, and the banks. While this has been the course in Germany, France has been gradually recovering the gold which she lost during and after the close of the war with Prussia, the Bank of France alone holding more than $300,000,000 in specie. The specie-stock of France before the war wâs estimated as follows : Francs. Gold...... - 4,800,000,000 Silver • ....: ..„ 1,200,000,000 The indemnity to Prussia paid in specie wâs 500,000,000 francs, leav ing 5,500,000,000 francs in the country, which have remained in a dor mant condition on account of the forced currency of paper money. From what has been stated it will appear that governments, banks^ and exchange-dealers have during the period under review been pur» chasers of gold which was likely to advance in value, and sellers of sil ver, which showed indications of a decline, and that the course of the precious metals during the last two years has not been controlled by the usual influences previously operating, but by transactiôns of unusual character and magnitude, involving, as a necessary consequence, large aud sudden transfers of coin and bullion from one country to another^ and which, by raising or depressing prices, created a wide field for specu lative operations. Fortunately such a condition of affairs rarely arises and cannot con tinue much longer. The gold standard is to go into force and effect throughout the entire territory of the German empire on the 1st of Janu ary, 1876, in accordance with an imperial decree of September 22,1875^ aud which would axipear to indicate the employment at an early day of- more decided iiieasures than heretofore for the withdrawal of the de preciated legal-tender silver coins, and thus make room for the more valuable new national mone^^. 20 F Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1875

306 REPORT ON THE FINANCES.

When the complete demonetization or withdrawal of these depreci ated silyer coins shall have been accomplished, gold will enter freely into the channels of circulation and money affairs resume their usual course. France would appear to have a supply of specie abundantly sufficient for the resumption and maintenance of specie payments, and the treas ury and bank reserves of Europe no doubt consist of a greater percent age of gold than at the time of the enactment of the new money law of the German empire. The sooner the German monetary reform now in progress is completed and the Bank of France, resumes specie xiay ments, the better it will be for Germany, France, and the United States. The time tixed for resumption by France, is January, 1878, but it is probable that it will take place before the time specified. The lowest price of silvef immediately preceding the discovery of gold in California and Australiar—average fbr the year 1848—was 59J pence per ounce, British standard,. 925 thousandths fine, and the high est price reached after those discoveries was in 1859, the average of that year having been 62Jg- pence. From 1859 there was a gradual depreciation during thirteen years, after which the influx of California and Australia gold ceased to have any influence. The average of 1872 was 60^j pence. Since then there has been a very raarked decline, the Xirices falling in June and July, 1875, as low as 55J x^^nce. During the last two months, Sexitember and October, the price in London has recovered to about 57 pence, owing to diminished receipts from the United States, and increased exports to the Indies and Spain. The fabulous accounts which reached Euroxie of the discoveries made near the close of 1874 on the Comstock lode, in the State of Nevada, no doubt had some influence in bringing about the heavy decline in xirice which has occurred during the present year. Some of the accounts not only placed an „ excessive estimate on the xirobable yield of the extensive ore body, but the very important fact that the bullioh from that source is, in value, nearly half gold appears to have escaped attention. For the information of those who may desire to consider the effect of the fall in silver on the finances, industries, com merce, and exchanges of different countries, it may be stated that the gold value of the principal legal-tender silver coins of European coun tries has, of late, averaged about 8J per cent, less than their tale or nominal values in the moneys of account which, they respectively repre sent. THE FUTURE VALUE OF SILVER. The gold standard practically prevailed in Great Britain a long period before 1816, during which time silver was likewise in circulation and a legal tender. In that year silver was demonetized, and gold made the exclusive standard and unlimited legal tender. Since 1870 the exclusive gold standard has been adopted by the United States, Germany, Japan, and the Scandinavian states. The double standard exists in France, Belgium, Italy, Switzerland, the Netherlands, Portugal, and Spain, and the silver standard in Eussia, Austria, Mexico, China, and the Indies. The money systems of the South American states are very much coK^^- fused, and it is difficult to determine their respective legal standards, but they no doubt call for the use of more silver than gold. The circulating medium in the United States, France, Spain, Eussia, and Austria consists chiefly of forced paper currency, amounting alto gether to about $2,500,000,000 to $3,000,000,000. The legal basis for

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the redemption ofthe same in the United States is gold; France, Italy, and Spain gold or silver, (in the fixed proportion of one to fifteen and a half,) at the option of the issuer, and for Eussia and Austria silver. No further extension of the exclusive gold standard appears to be probable for some years to come, although the period of waiting and ex pectation, as the limit placed upon the legal-tender silvercoinage of the states of the Latin monetary union and the Netherlands may be •characterized, will no doubt contiuue until the German surplus,silver ^hall have been distributed, but its effect on the price of silver will be •counterbalanced to some extent by the use of subsidia;ry silver coiu in the United States. Four years having elapsed since the change ih the German money system was inaugurated, and the adoption of the exclusive gold stand- -ard having been carried to the full extent warranted by the supply of that metal, we niay reasonably expect an increased demaud for silver, but hot sufficient to cause fbr some time to come a material alteration in the present relative valuation of gold and silver, which is about as one to seventeen. MONEY AND THE MONEY SYSTEM OF THE UNITED STATES. ThQ question of returning to a specie basis^ is receiving general and earnest consideration, and, while its discussion does noc come within the limits of this report, certain well-settled principles and facts in con nection with the subject of money and the monetary system of this country may with propriety be briefly referred to. A money standard subject to as little variation as possible, and by which values may be computed, exchanges effected, and contracts ful filled with uniformity and equity, has long been regarded as a necessity by every well-regulated government. The experience of nations has proved the precious metals, and par ticularly gold, to be the least variable as a monetary standard and the best adaxited for a circulating medium of all known substances; their peculiar xiroperties, and particularly those of easy manipulation and re sistance to the elements and agencies which either destroy or injuriously affect other metals and substances, rendering them eminently adapted for this service. - • No material or substance not of intrinsic value, and comparatively imperishable, is suitable for a circulatiug medium and permanent stand ard of value. The value of the precious metals depends, as in the case of all other commodities, on certain inherent qualities and the cost of production. By value, is meant the rate in the legal money-terms of a nation or government at which labor and property of all kinds are ex changed one for another. A given weight of gold or silver, unlike all other things, has a fixed value by law in the legal moiiey-terms of all countries, and this peculiarity contributes greatly to maintain uniformity in their value. The units of the money of account of all countries associalied in modern civilization were originally based on, or declared by law to be represented by, a certain weight of pure metal in the form of coins, and the latter made a legal tender without limit. ' The quantity of pure metal representing the ideal unit of the money of account, once being fixed by law. becomes the basis of exchange and measure of contracts, and its steady maintenance has always been re garded by the most enlightened statesmen and eminent writers on finance as an imperative duty of governments. The precious metals being the real basis of all well-regulated money

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308 REPORT ON THE FINxYNCES.

systems, no one commercial country can even temporarily depart from such without subjecting itself to serious evils. All paper money issued in countries having monetary systems based on the precious metals, whether forced into circulation by authority or received without com- Xiulsiou, are simply promises to xiay in coins representing the monetary unit, and their xiayment in such coins or redemption in their equivalent is obligatory on the issuer. . Soon after the adoption of the Constitution of the United States, the subject of a national money system was taken into consideration, and able papers on the subject w^ere contributed by Hamiltpn, Jeflerson, Gouverneur Morris and other eminent men of that period. The result was the passage of the act of April 2, 1792, which established the Mint for the purpose of a national coinage, and the money of account of the United States; authorized tbe coinage of gold and silver coins of pre scribed weight and fineness, and declared them lawful tenders in pay ment of all sums whatsoever, those of full weight according to their stamped value, and those of less thau full weight at values proportional to their respective weights. The monetary standard established by the act referred to was gold and silver, and the importance which the eminent statesmen and finan- 'ciers of that day attached to a uniform standard is seen in the provision which limited the legal-tencler coins of less than full weight to their actual bullion value. No subsequent acts of Congress declared anything but gold and silver a legal tender in the payment of debts, until the law of February 25, 1862, was enacted. This law authorized the issue, " on the credit of the United States," of United States notes '' payable to bearer at the Treasury of the United States," and declared such notes a legal tender in the pay ment of all debts both public and private, except duties on imports and interest on certain bonds and notes. A forced paper currency is well known to be, from various causes, subject to frequent fluctuations in value, ancl, unlike the precious metals, is wanting in the xiroperty of self-adjustment under the operations of supxil}^ and demand, and for these reasons alone must always prove an uncertain system upon which to conduct the business and exchanges of the country. PRODUCTION OF THE PRECIOUS METALS FROM THE MINES OF THE UNITED STATES. Several communications and statements from official sources respect ing the bulliqn xiroduction will be found in the appendix. These paxiers embrace a detailed account of the gross yield of the mines in the State of Nevada for the last fiscal year, kindly furnished through the super intendent of the Carson mint by the State comptroller. It would be a very valuable addition to our bullion statistics if similar statements to that furnished by the State authorities of Nevada could be procured from all the States and Territories iu which the precious metals are pro duced. I take this occasion to acknowledge the hearty co-operation of the various State officials Avho were invited to furnish information, on this subject. NEW AND EXTENSIVE DEVELOPMENTS OF PRECIOUS-METAL ORES ON THE COMSTOCK LODE. It was a curious coincidence that, about the time the spacious new mint at San Francisco was completed, and increased facilities given the

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Carson mint by the duplication of its coining-machinery, that the Pacific coast should be surprised by the reported discovery of an ore- body in the Comstock lode w^hich surpassed, iu extent and richness, all others that had been previously met with. Since the usefulness of those mints to the country at large, and more especially California and S"evada, depended upon the supply of the precious metals wiiich they receive for manipulation, it was important to ascertain how far the expectations of an abundant supply from that source were likely to be realized. Additional interest was given to this discovery in consequence of the passage of an act of Congress looking to preparations for a return to specie payments. In view of these facts, and being in California during the summer on official business, 1 felt it my duty to obtain correct information respect ing the extent of the ore-body and its prospective yield of bullion. I accordingly sought a conference with the managers of the "Consolidated Virginia" and " California" mines, in which the discovery was represented to have been made, aud explained to them my views, stating that the information sought was deemed important for the use of the Govern ment. The gentlemen applied to cheerfully acquiesced in my wishes,, and volunteered every aid they could give iu promoting my object, off'ering to allow me to select any one whom I thought proper to go iuto the mines for the purpose of making full observations and measurements, / and to take specimens from the several drifts, cross-cuts, and winzes for assay, representing, as nearly as could be obtained, an average of the ore-body. - • In view of this offer, I determined to make a personal inspection of these mines, and to call to my aid the services of Prof. Eobert E. Eogers, who, as before stated, had been selected for the important duty of superin tending the equipment of the refinery in the new mint at San Francisco. The annual settlement of the San Francisco mint having been completed, I visited Virginia City, in company with ProfessorEogers,onthel6th day of July. After spending a day in examining the topography of the local ity and the general course of the Comstock lode, as exhibited by the workings along its line, we entered the mines, and on the first day exam ined the drifts and cross-cuts, which had been made on the 1,400,1,500, and 1,550 feet levels, observing the course of the same, and making such a collection of specimens as seemed to us to represent an average of the character of the ore-body. Upon comparing our views, it appeared that there were some points w^hich needed a further and corroborative inspection, and accordingly the next day Professor Eogers repeated his visit into the mines, settled the points that had been omitted on the first day, and gathered a second extensive collection of specimens for assay. Before w^e left Virginia City for San Francisco, the superintendent of the mines placed in our hands certified surveys, exhibiting the direc tion, relative position, and length of the galleries, cross-cuts, and winzes ofthe different levels. These surveys were taken to San Fran cisco for careful examination and study. On the 26tli of August, having official business at the Carson mint, I again visited the mines, repeated their inspection, and examined espe cially the explorations which had been made since my previous visit, taking specimens from them for assay. At my request, the superintendent of the mines has furnished a state ment, showing the explorations and developments made from August 26th, the date of my last visit, up to the 2d instant, (November.)

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In the mean time, the assays of the specimens taken have been made under the supervision of Professor Eogers. With the data thus obtained, we have been able to arrive at somewhat definite conclusions as to the probable yield of these mines. These con clusions are embodied in a report by Professor Eogers, herewith sub mitted, and in which I concur. I have referred to the two mines under one head, since, for the pur pose of our examination, it w^as not necessary to make any distinction between them. After the works recently destroyed by fire shall have been rebuilt and operations fully resumed, the total production of all the mines on the Comstock may be safely estimated at not less than fifty million dollars per annum, about forty-five per cent, of which will be gold. In this connection it is interesting to add, as indicating the extensive bullion-resources of our western country, that a production nearly equal to that estimated for the Comstock may be anticipated from other domestic sources during the year 1876. The favorable condition of the precious-metal mining industry is due to the judicious expenditure of a large amount of capital in extensive enterprises, by men of superior energy and business qualifications. Nearly all the mines on the Comstock, as well as the hydraulic, gravel- mines in California and vein-mines in other localities, as a general rule^ made heavy drafts on labor and capital before any returns on the outlay were secured. Notwithstanding the improvements w^hich have been made in mining and in the reduction of ores, the business is one of uncer tainty and hazard, and, taking one year with another, the exxienses no doubt equal, if they do not exceed, the production. Many of the present largest yielding mines were originally discovered by the adventurous and daring prospectors, who are always advancing into unexplored localities and endure hardship and danger which woulcl. soon discourage the boldest, were it not that under the liberal and fos tering xiolicy of the Government the discoveries which they may make bocome their own property, subject to conditions looking to a certain degree of exploration and development before complete title can be acquired. The first capital which follows these prosxiectors is generally sunk, and but a small xiroportion of the mines are continuously worked^ and many totally abandoned afier considerable expenditures have been made. These facts show that the policy pursued by the Government with reference to the x>i'^cious-metal mining-interests has been eminently wise, and should be steadily continued.

THE CONSTRUCTION GIVEN THE FIRST SECTION OF THE ACT OP MARCH 3, 1873, AS TO^THE RULE OF VALUATION OF FOREIGN COINS, SUSTAINED BY THE SUPREME COURT. In my last annual report the operations of the act of March 3, 1873,"^ prescribing a hew rule for the valuation in United States money of account, of foreign coins, and fixing the par of exchange with Great Britain, were described at some length, and the fact stated that the question as to the legality of the construction given the first section of the act by the Treasury Department was then pending in the Supreme Court of the United States. Since the date of that report, the decision of that tribunal, sustaining the departmental construction, has been rendered, and the new rule of valuation applied to the standard coins respectively of all countries.

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The values resxiectively of the standard coins of different countries,, ascertained and proclaimed in accordance with the section of law referred to, will be subject to alteration only when any country shall change or modify its monetary standard.

MONEY SYSTEM OF CHINA. Our increasing commercial intercourse with China renders it quite- necessary that we shold possess accurate information as to the different money units or weights in use in the various ports of that extensive empire. The non-intercourse xiolicy with foreigners, so long and rigidly observed, is gradually giving way under the influence of commerce, and it is to be hoped that the Chinese will, at no distant period, see the necessity which exists for, and the advantages which would result from, a reform in their present defective money system. The nominal moneys of account are the liang, tseen, fun, and le, called by foreiguers tael, mace, candareen, and cash. They are, with the exception of the last named, denominations of weight in decimal Xirop or tions. Under the title of the Chinese tael, in the axipendix will be found valuable information respecting the money-weights of China and the mode of using bullion in business transactions, for which we are indebted to the zealous and intelligent labors of S. Wells Williams, esq., secretary of the United States legation, Peking, and to theUnited States consuls at the various ports of the empire,

TEST ASSAYS OF THE COINAGE OF JAPAN. Samples of the test or pyx coins of the imperial mint at Osaka, Japan, sent through the Dexiartment of State, with a request from the Japanese government that they be assayed at the Philadelphia mint, were received on the 1st instant, (November,) and, pursuant to your instructions, have been carefully tested at the Philadelphia mint, and the results reported to you. The correspondence bf the Japanese assays to those made here is very satisfactory, and shows that the legal standard fineness or purit}^ of the coinage of Japan is faithfully maintained.

MONEY STATISTICS. We are frequently called upon by members of Cougress and others for information respecting the amouut of specie in the country at differ ent periods. . In my first annual report, 1873,1 estimated from the most; reliable data obtainable the amount of gold and silver coin in the country on the 30th of June of that year at $140,000,000. The estimate for June 30, 1874, was $166,846,228. The product of the mines during the last fiscal year may be stated at about $72,000,000, and the imports of bullion for the same period $20,900,717, making a total of $259, 746, 945 Deducting from this total the exports of the last fiscal year : „ 92,132,142 Leaves as the estimated stock on the 30th of June, 1875. 167, 614, 803 In this estimate no accouut has been taken of the amount of gold and silver consumed in the arts and manufactures from June 30, 1872, to June 30, 1875. It is difficult to obtain any reliable data upon this

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312 REPORT ON THE FINANCES. point. Whatever the amount may have been, it was reduced to a con siderable extent by the xilate and other manufactured articles of gold ' and silver which found their w^ay to the melting-x)ot from the accumu lated stock of the country. Making due allowance for the latter, the amount to be deducted from the estimated^total may be stated at, say, $15,000,000, and allowing $10,000,000 for possible overestimates, would leave the ainount of coin in the country on the 30th of June, 1875, at about $142,000,000.. Of this total, about $12,000,000 to $15,000,000 consists of silver coin and bullion. I have taken considerable care to make an estimate of the amount of specie-circulation of the country at various imxiortant financial periods, availing myself of theTreasury and congressional reports, and covreing the time since 1790. This information will be found in the appendix.*

THE PRINTING OF CERTAIN DOCUMENTS RELATING TO MONETARY SYSTEMS SUGGESTED. During the last two years a number of documents have been received at this Office, in response to circulars seut through the Department of State to our representatives abroad, containing valuable information relative to the monetary systems of foreign countries and the annual production of the precious metals. These documents have been trans lated, and it is suggested that they should be printed for public use. If this suggestion meets your apxiroval, a small approxiriation should be procured to cover the expense of properly arranging these papers, under the supervision of this Office.

SILVER CONTAINING MERCURY. Gold and silver bullion is sometimes combined with other metals of a (Character calculated to render not only the complete refining of the gold and silver difficult, but to embarrass in a certain degree their assay, the correctness of which is of the highest imxiortance, since by it the xiroportion of gold and silver respectively in all classes of bullion is determined, and constitutes the basis of all computations. Traces of mercury having been observed in some of the deposits of silver recently received at the Philadelphia mint, the assayer of that

*The Treasurer of the United States in his report for the fiscal year ended June 30,1872, (Finance Report 1871-'72, p. 269,) gives the total cash balance at the close of that year as $107,587,169, and states that the balance consists of gold and sUver • $89,764,599 Other lawful money $17, 822, .569 The report ofthe Comptroller of the Currency for the same year (Finance Report, p. 96) gives the amount of coin held by the niitional l)anks in New York City ou June 10,1872, at '. .3,78.2,909 Other national banks J 4, 842,154 i Making a total in the Treasury and national banks of , 98, 389,662

On page 307, Finance Report 1871-'72, the Treasurer of the United States states the total amount of coin-certificates outstanding at 33,149,500 And the amount redeeraed but not destroyed 1, 063,200 Leaving total outstanding 32, 086, 300, No portion of these outstanding certificates was included in the Treasurer's coin balance or iu the^Comptroller's statement of the amount of coin held by the national - banks in New York City. The item of $4,842,154 coin held by other national banks included some coin-certifi cates, but the amount w^^s inconsiderable.

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DIRECTOR OF THE MINT. 313

institution made a careful examination of the subject, and has given the facts ascertained and conclusions arrived at in an interesting report, which wiil be found in the appendix.

ANNUAL SETTLEMENT. The annual settlement of the coinage-mints and the assay-office at New York, and which embraced a careful count of the coin and bullion on hand at each institution, was made at the close of the fiscal year and proved satisfactory, the wastage having been unusually small. My personal supervision was given to the settlement of the San Fran cisco and Carson mints; and at the Philadelphia mint and the assay- office. New York, experienced clerks of this Bureau attended and suxier- vised the same. I discharge a pleasant duty in acknowledging the faithfulness and efficiency with which the clerks of this Bureau have discharged their duties, and the fidelity and skill with which the various oxierations of the mints and assay-offices have been conducted. I have the honor to be, verv respectfullv, H.'^E. LINDEEMAN, Director of the Mint. Hon. B. H. BRISTOW, Secretary of the Treasury.

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APPENDIX NOO 1. oo Statements exhibiting in detail the operations of the mints and assay-offices during the fiscal year ; also, bullion imports and exports J result of annual and test assays ; valuation of foreign coins o

A 1.—Deposits a7idpurchases of bullion at the mints and assay-offices during thefisoal year ended June 30, 1875.

Mints. Assay-offices. Description. Total. Philadelphia. San Francisco. Carson. Denver. New York. Charlotte. Bois6.

GOLD. Tl O $3, 793, 758 69 $802, 531 91 $4, 596, 290 60 United States bullion, (including gold contained in H 215,835 50 $26, 046, 764 29 $2, 540, 057 59 $909, Oil 02 4, 430, 880 67 $6, 562 12 $117, 013 33 34 266 124 52 1, 354, 515 67 359, 795 83 1, 714, 311 50 O 231,120-65 493, 505 31 724, 625 96 4, 807 65 88, 624 17 1, 018, 360 44 1,111 792 26 36, 337 85 199, 712 06 503, 389 75 739,439 66

Tnfnl JTold -. 5, 636, 376 01 26, 335,100 52 2, 540, 057 59 • 909, Oil 02 7, 608, 463 91 6, 562 12 117, 013 33 43,152, 584 50

SILVER. ^^

1, 775, 997 79 457, 781 74 2, 233, 779 53 l-H United States bullion, (including silver purchases).. 1, 907, 875 89 5,127,124 33 3, 030, Oib 73 83,108 47 5, 014, 871 52 127 91 766 15 15,164, 785 00 12, 074 70 2,126 76 14,201 46 > 37, 313 80 177, 446 54 214, 760 34 a J eweiers uai-a 1, 524 17 25, 645 67 133,521 09 160, 690 93 foreign com 433, 625 87 1, 527 38 81, 035 56 516,188 81

Trkfnl silver 4,168, 412 22 5,154, 297 38 3, 030, 910 73 83,108 47 5, 866, 783 21 127 91 766 15 18, 304, 406 07

Total amount received and operated upon 9, 804, 788 23 31, 489, 397 90 5, 570, 968 32 992,119 49 13, 475, 247 12 6, 690 03 117,779 48 61, 456, 990 57

• LESS REDEPOSITS.

Silver * — " -----•.--- • 3, 793, 758 69 802, 531 91 4, 596, 290 60 1,775,997 79 457, 781 74

Total rpdfnOftita 6, 830, 070 13 54, 626, 920 44 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1875

B 1.—Gold and silver of domestic production^ {including United States bullion purchased), deposited at the mints and assay-offices during the fiscal year ended June ^Oj 1875.

Mints. Assay-offices. Locality. Total. Philadelphia. San Prancisco. Carson. Denver. New York. Charlotte. Boise.

GOLD.'

A-labama. .. $•222 22 $158 32 $380 54 29 84 $70, 962 08 233 80 71 225 72 California 1,585 24 8, 516, 526 35 268,172 33 8, 786, 283 92 Colorado .- ...... 4,141 75 $845, 698 79 580, 145 63 1, 429, 986 17 Georgia - . 23, 001 70 15, 680 90 38, 682 60 5, 396 48 67, 900 26 474, 851 29 $109, 536 24 657, 684 27 Iowa 192 58 192 58 o Kan sas 80 62 80 62 H Montana . . 28, 393 70 3, 479 99 2, 254, 426 13 2, 286, 299 82 O Nebraska 195 70 352 87 548 57 New Mexico 14,180 88 63, 312 23 54, 074 73 131 567 84 Nevada 2, 273 38 $2, 540, 057 59 112 42 2, 542, 443 39 o New Hampshire 4, 703 17 497 75 5, 200 92 North Carolina - 98, 500 45 5, 025 27 $5,102 82 108, 628 54 Oregon ...... 1,160 33 223,190 57 1, 423 69 7,010 22 232, 784 81 Soutb Carolina " 322 92 992 54 1 315 46 Tennessee 189 69 127 83 317 52 Utah 2, 647 61 2, 280 89 21, 474 26 26, 402 76 V^irginia 1,229 00 263 98 1 492 98 Vermont 1, 290 72 1,290 72 Washington Territory 1, 680 15 1, 680 15 Wvoming Territory 2, 768 93 7, 520 54 10, 289 47 Kefined gold 16,589,725 61 16, 589, 725 61 Parted from silver 13,201 12 746,146 35 - 759, 347 47 Contained in silver 568, 745 01 466 87 569,211 88 Other sources , 12,593 43 466 76 13, 060 19

Total gold 215,835 50 26, 046, 764 29 2, 540, 057 59 909, Oil 02 4, 430, 880 67 6, 562 12 117, 013 33 34, 266,124 52

SILVER.

California ». 329, 690 29 329, 690 29 Colorado 1 82, 553 49 2, 200, 602 38 299 28 2, 283,155 87 Idaho .-,... 8, 367 32 8,666 60 Lake Superior ' 5,478 29 _. . 211. 371 34 - 216, 849 63 Montana 21, 409 45 73', 257 48 94 666 93 OO Nevada 1, 748, 064 31 1, 224, 544 57 3, 030, 910 73 1, 241, 319 93 7, 241, 839 54 New Mexico 467 41 554 98 175, 558 61 176,581 00

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B 1.—Gold and silver of domestic production dexiosited at the mints and assay-offices, ^-c.—Continued.

Mints. Assay-offices. Locality. Total. Philadelphia. San Prancisco. Carson, Denver. New York. Charlotte. Boise.

SILVER—Continued. North Caroliua $66 m 'm 02 $114 70 Oregon 106 85 $301 94 408 79 South Carolina 2 93 2 93 Utah .... 110, 084 76 2, 766 68 $698, 390 55 • 811,241 99 Kefined silver .... 3, 780,122 90 3, 780,122 90 Contained in gold . 66, 403 97 $466 87 66, 870 84 td Parted frora gold 10, 224 56 76, 313 62 86,538 18 T) Other sources . 11, 973 58 52, 984 27 76 96 65, 034 81 O Total silver 1, 907, 875 89 5,127,124 33 $3, 030, 910 73 $83,108 47 5, 014, 871 52 127 91 766 15 15,164, 785 00 H Total gold and silver 2,123, 711 39 31,173, 888 62 5, 570, 968 32 992,119 49 9, 445, 752 19 6, 690 03 117, 779 48 49, 430, 909 52 O

o td Ul

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Mint United States, Mint United States, Mint United States, Philadelphia. San Prancisco. Carson. Total. Denomination.

Pieces. Value. Pieces. Value. Pieces. Value. Pieces. Value.

GOLD.

T)oviblp-ea ffles 238, 910 $4, 778, 200 1, 300, 000 $26, noo, 000 98, 497 $1, 969, 940 1, 637, 407 $32. 748,140 Ea""les 38, 060 380, 600 10, 000 100, 000 11, 924 119,240 59, 984 599, 840 348 1,740 20, 000 100, 000 20,383 101, 915 40, 731 203 655 Three dollars 20 60 20 60 Onarter-eacles 900 2,250 900 o 250 Tjollars . 20 20 20 20 w td Total ffold . 278, 258 5,162, 870 1, 330, 000 26, 200 000 130, 804 2,191,095 1, 739, 062 33, 553, 965 o H SILVER. O Trade-dollars 476, 800 476, 800 3, 379, 000 3, 379, 000 1, 841, 700 1, 841, 700 5, 697, .500 5, 697, 500 U'llf-dollars ...... 4,415,000 2, 207, 500 958, 000 479, 000 334, 000 167, 000 5, 707, 000 2, 853, 500 o Onarter-dollars 2, 003, 800 500, 950 492, 000 123, 000 2, 495, 800 623 QnO 11,000 2, 200 15, 000 3,000 1,316 658 27, 316 5, 858 4, 580, 600 458, 060 3, 430, 000 343, 000 885, 000 88, 500 8, 895, 600 889 560 Total silver 11, 487, 200 3, 645, 510 8, 274, 000 4, 327, 000 3,062,016 2, 097, 858 22. 823, 216 10, 070, 368 td

MINOR. •pivG-cent ... 1, 893, 000 94, 650 1, 893, 000 94 650 ^ Three-ceut .. ... 418,000 12, 540 418, 000 12, 540 H One-cent. 12, 318, 500 123, 185 12, 318, 500 123,185

Total minor 14, 629, 500 230, 375 14, 629, 500 230, 375

Total coinage 26,394,958 9, 038, 755 9, 604, 000 30, 527, 000 3,192, 820 4, 288, 953 39,191, 778 43, 854, 708

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Siaiement of bars manufactured at the mints and assay-offices during thefisoal year ended June 30, 1875. OO GO ' Mints. Assay-offices. D escription. Total Philadelphia. San Prancisco. Carson. Denver. New York. Charlotte. Boise.

GOLD. • Pine bars $40, 713 92 $5, 238, 763 54 $5,279,477 46 Unparted bars - $9, 624, 439 39 $83, 376 61 $909, Oil 02 $6, 562 12 $117, 013 33 10, 740, 402 47

Total gold 40, 713 92 9, 624, 439 39 83, 376 61 909,011 02 5, 238, 763 54 6, 562 12 117, 013 33 16,019,879 93 td SILVER O Pine bars 278. 072 74 344, 728 10 4, 609,115 06 5 231, 915 90 H Unparted bars . 836, 841 73 798, 821 70 83,108 47 127 91 766 15 1, 719, 665 96 Sterling bars 77, 848 68 77, 848 68 O Total silver 278, 072 74 836, 841 73 1,143, 549 80 83,108 47 4, 686, 963 74 127 91 766 15 7, 029, 430 54 Total gold and silver 318, 786 66 10,461,281.12 1, 226, 926 41 992,119 49 9, 925, 727 28 6, 690 03 117, 779 4S 23, 049, 310 47 w td

Q 02

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REPORT OF THE DIRECTOR OF THE MINT.

19 F

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REPORT

OB1 THE DIRECTOR OF THE MINT.

TREASURY DEPARTMENT, OFFICE DIRECTOR OF THE MINT, October 20, 1876. SIR : In compliance with the provisions of the coinage act of 1873, I have the honor to submit the following report of the operations of the mints and assay-offices for the fiscal year ended June 30, 1876. The amounts of gold and silver deposits and purchases, coins struck, and bars manufactured, were as follows:

Deposits and purchases.

Gold deposits $57,480,270 50 Silver deposits and purchases 28, 515,702 79

Total amount received and operated upon 85,995, 973 29

Deducting redeposits, (bars made and issued by one institution and deposited at another,) the deposits were:

Gold $41,943,285 42 Silver 24,574,551 81

Total 66, 517, 837 23

Coinage.

Pieces. Value. Gold 1, 949, 468 $38,178, 962 50 Silver, (trade-dollars) 6,132, 050 6,132, 050 00 Silver, (subsidiary coin) 64,104,950 12,994,452 50 Minor 14,915,000 260,350 00

Total 87,101, 468 57, 565, 815 00

Bars.

Fine gold $3,520,454 40 Unparted gold 8, 514, 233 22 $12,034,687 62 Fine silver 6,213, 306 79 Unparted silver 2,071,480 30 Sterling 11, 050 68 8,295,837 77

Total gold and silver , 20, 330, 525 39

The distribution of the gold and silver bullion deposited and purchased, including redeposits, was as follows:

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292 REPORT ON THE FINANCES.

Silver deposits Gold deposits. Total. and purchases.

$Iint at Philadelphia $8, 497, 720 13 $5, 896,104 93 $14, 393, 825 06 Mint at San Francisco 35, 054, 628 74 10, 962, 784 97 46, 017, 413 71 Mint at Carson. 3,175,046 92 5, 049,290 04 8,224, 3;j.6 96 Mint at Denver 745, 676 47 6. 031 00 751, 707 47 Assay-office at New York 9, 943, 661 70 6,599,821 10 16, 543, 482 80 Assay-office at Boise 63,536 54 1,670 75 65,207 29

Total 57, 480, 270 50 28, 515, 702 79 85, 995, 973 29

The coinage at the different mints during the fiscal year was as follows :

Description. Pieces. Value.

Mint at Philadelphia: Gold coinage 42-2, 265 $8, 260, 937 50 Silver coinage, (trade-dollars) ... 280, 050 280, 050 00 Silver coinage, (subsidiary coin) 29,022, 950 6, 320,452 50 Minor coinage 14, 915, 000 260, 350 00

Total 44, 640,265 15,121,790 00

Mint at San Francisco: Gold coinage 1, 375, 600 27, 036, 500 00 Silver coinage, (trade-dollars)... 4, 523, 000 4, 523, 000 00 Silver coinage, (subsidiary coin) 22, 504,000 4, 430, 000 00

Total 28,402, 600 35, 989, 500 00

Mint at Carson: Gold coinage 151, 603 2, 881, 525 00 Silver coinage, (trade-dollars^... 1, 329, 000 1, 329, 000 00 Silver coinage, (subsidiary coin) 12,578, 000 2,244, 000 00

Total 14, 058, 603 6, 454, 525 00

Total coinage 87,101, 468 57, 565, 815 00

The bars made and issued at the mints and assay-offices were as follows :

Gold. Silver.

Total. Fine. Unparted. Fine. Unparted. Sterling.

Mint at Philadelphia.. $37, 520 01 $66, 052 48 $123, 572 49 Mint at San Francisco. $7, 707, 326 84 113,794 09 $1, 460, 650 35 9,281,771 28 Mint at Carson...... 904, 453 65 603.144 30 1, 507, 597 95 Mint at Denver 743,549 84 6,014 90 749, 564 74 Assay-office at New York 3, 482, 934 39 5,109, 006 57 $11,050 68 8, 602, 991 64 Assay-office at Boise 63,356 54 1,670 75 65, 027 29

3, 520, 454 40 8,514,233 22 6, 213, 306 79 2, 071, 480 30 11, 050 68 20, 330, 525 39

Compared with the previous year, there was an increase of $14,327,686 in the amount of gold operated upon, $10,211,296,72 in the amount of silver operated upon, $4,624,997.50 in gold coinage, and $9,056,134.50 in silver coinage.

The expenses of the mints and assay-offices for the year were $1,495,815 59

The earnings were 479,771 19 Seigniorage or gain by coinage of subsidiary silver 1,724,181 26 Seigniorage on minor coins 188,494 00

Total earnings and seigniorage 2, 392,426 45

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DIRECTOR OF THE MINT. 293

INCREASE OF COINAGE.

Nearly half of the month of July last was occupied iu completing the annual settlement of accounts, and coining- operations did not get fully under way until toward the close of that month. Immediately after the passage of the appropriation bills you directed that the mints should be run to their utmost capacity, in order to execute with promptness the laws in reference to the issue of the silver coinage. The superintendents of the mints were instructed accordingly, and the officers and employes responded with alacrity and zeal. Notwith- standing the employes have been required to work, in addition to the regular day's work of eight hours, as many extra hours as they could endure, not a single word of complaint has been heard from any source. The silver coinage during the months of August and September of the current fiscal year has largely exceeded in amount that of any corresponding period of time in the history of the Mint. The coinage ot trade-dollars was $1,082,200, and of subsidiary silver $4,398,210. The gold coinage during the same period was $8,675,100, and the minor coinage $18,450. The silver coinage was at the rate of $32,882,460 per annum. The largest silver coinage in any year preceding the establishment of this bureau was in 1853, immediately after the change of the standard, and amounted to $9,077,571. There has been some disposition to question the necessity for increased appropriations for the support of the mints. The extraordinary coinage referred to should be a sufficient answer to the same- It is proper to state here that in the German Empire, where a new coinage has been in progress since 1872, eight mints have been and still are employed, while we have but three at which coinage is executed. Should any laws be enacted at the approaching session of Congress contemplating the issue of silver in any other mode than the redemption of fractional currency and in exchange for gold coin, the necessity of providing for the coining of silver at the New Orleans mint is respectfully submitted for your consideration. That establishment could be put in condition for such coining in about three months, and at an expense of about $75,000. This could be done to meet the present requirements, and postpone for a time the establishment of a mint for the coinage of gold and silver at a convenient point in the Mississippi Yalley.

MANUFACTURE OF MEDALS AND DIES. During the year 18,640 medals were struck and 1,843 dies manufactured at the Philadelphia mint. The increased coinage of silver has heavily taxed the capacity of the engraving department in furnishing a sufficient number of dies to insure a creditable appearance to the coin issued. New specimen-dies for the silver coinage are in course of preparation. The best artistic skill has been secured, and every effort is being made to bring this branch of minting operations to a high standard of excellence.

COINAGE OF FOREIGN COUNTRIES. Eecent assays made at the Philadelphia mint of Belgian twenty-franc gold and five-franc silver pieces exhibited an exact correspondence with the legal standard of fineness. Assays made at the same mint of Rus- sian gold coinage showed a close approximation to the legal standard of that country.

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294 REPORT ON THE FINANCES.

The gold coinage of the British mint during the calendar year 1875 amounted to £258,120, ($1,256,140.98,) and the coinage of silver, £597,540 17s. Id., ($2,907,932.56.) In relation to the small amount of gold coined, the interesting report of the deputy master of the royal mint for that year (1875) makes the following statement: u The gold coinage of the year, as will be seen from the above figures, has been inconsiderable, and has been confined to half-sovereigns, which were the coins most required when the Bank of England resumed the importation of gold bullion into the mint in the month of November. u I may mention, however, in this place, that the importation of gold continued until the close of January last, when the amount sent in for coinage had reached a total of more than £6,250,000. The supension of the gold coinage for a period of more than a year, namely, from Septem- ber, 1874, to November, 1875, is no doubt mainly attributable to the fact that during the latter year no less a sum than £2,726,000 in Aus- tralian gold coin was sent in to the Bank of England, as against £1,972,000 in 1874, and that the issue of this coin, which is equally available with English sovereigns for circulation in this country, obviated the necessity for a coinage of a like amount in London." At the request of the Japanese government, made through the Depart- ment of State, and by your instructions, assays have been made at the Philadelphia mint of samples from the reserved or pyx gold and silver pieces, of the coinage of the imperial mint at Osaka for the fiscal year ended June 30, 1876. The results show a close correspondence with the Japanese assays and to the legal standard. Detailed information in relation to the amount of gold and silver and paper currency, respectively, of various countries will be found in the several documents referring to the same in the appendix.

MINOR COINAGE FOR VENEZUELA.

At the request of the Venezuelan government, and in conformity with an act of Congress entitled uAn act authorizing coinage to be executed at the mints of the United States for foreign countries," approved Jan- uary 29, 1874, preparations are being consummated at the mint in Phil- adelphia to coin for that government 12,000,000 nickel-copper pieces, amounting to the sum of 150,000 venezolanos, (dollars.) The capacity of the mints of the United States being heavily taxed in manufacturing the large amount of subsidiary coin required to redeem the fractional currency, the planchets for the Venezuelan coin will be prepared by private parties, and received at the mint, subject to assay, ready for the coining presses. This arrangement will prevent any interference with our own coinage, as the capacity of the Philadelphia mint for striking pieces slightly exceeds that of the preparatory operations which the metals undergo before they are ready to be coined.

AUTOMATIC BALANCES.

The subsidiary silver coins not being singly adjusted by hand, as are the gold coins and trade-dollars, and as a safeguard against any pieces being made and issued which might be outside the legal tolerance for weight, an appropriation was obtained at the last session of Congress for the purpose of procuring automatic assorting and adjusting balances, to be employed in testing the weight of the subsidiary coin. Arrange- ments have been made for importing these balances, and they will be placed in operation at an early day. A new engine has been contracted

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DIRECTOR OF THE MINT. 295

for, to supersede the one now furnishing power to the press-roam in the mint at Philadelphia, which by long use has become too unreliable to depend upon in meeting the exigencies of the requirements for large amounts of coin. Other improvements in the machinery have been made or are in contemplation ; but in order to insure an efficient mechanical working of our mints, and to keep the execution of the national coinage fully on a par with that of the mints of Europe, it would be ad- visa) le that an experienced and competent practical machinist should visit the principal European mints, with a view of introducing in our own country any improvements which may have been made in minting operations by foreign governments. Such a visit and inspection in 1834 resulted in the introduction into the mints of this country of many decided and advantageous improvements both in machinery and processes.

PREPARATIONS FOR MELTING AND ASSAYING BULLION AT HELENA AND AT NEW ORLEANS.

At the last session of Congress, appropriations having been made for fitting up the assay-office at Helena, Mont., and conducting the operations of melting and assaying, and also at New Orleans, in the building formerly used as a coinage mint, the necessary preparations for these purposes have been in progress since the approval of the act, and it is expected that assaying will be commenced at New Orleans in the course of a month, and at Helena before the close of the present year.

THE SILVER 3IARXET AT SAN FRANCISCO,

For nearly three months past there has been an active demand for silver at San Francisco, for export to China and Japan, both on Amer- ican and British account, and the price realized has been above the London rate. Bullion was formerly shipped from San Francisco to China by way of London ; the change has been brought about principally through the facilities afforded by the establishment, a few years since, of steamship communication between San Francisco, Yokohama, and Hong-Kong, by which there is a material saving of time. With respect to oriental markets, the effect has been to place San Francisco quite upon an equality with London.*

DOMESTIC PRODUCTION OF THE PRECIOUS METALS.

From the most authentic sources of information which could be procured, it has been ascertained that the domestic production of gold and silver for the fiscal year was about eighty-five and a quarter million dollars, of which amount forty-six and three-quarter millions were gold, and thirty-eight and a half millions silver.

MONEY STATISTICS.

I11 my last annual report an estimate was made of the stock of gold and silver coin in the United States. This estimate was based upon

* The bullion shipments from San Francisco to China from January 1 to October 26, 1876, have been as follows: Trade-dollars ... $4,255,378 Mexican dollars 1,820,040 Fine silver bars 2, 055, 575 Gold coin 191,093

Total 8.322,086

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296 REPORT ON THE FINANCES.

information derived from the best attainable sources, and fixed the amount as about $142,000,000, of which some $12,000,000 was probably silver. Taking this estimate as a basis, we have: amount of gold coin June 30, 1875, $130,000,000; adding to this the product of the mines for 1876, $46,750,000, and importations, $7,992,000, furnishes $184,742,000 ; deducting the exports, $31,177,000, and about $2,000,000 consumed in the arts and manufactures, leaves a net balance of about $151,565,000 gold in the country at the close of the fiscal year, June 30, 1876. The estimated amount of silver coin June 30, 1875, was about $12,000,000; importations during 1876, $7,942,000; product of the mines, $38,500,000; giving a gross amount of $58,442,000, from which deduct exportations, $25,329,000, and amount employed in manufactures, $3,000,000, leaves $30,113,000 as our stock of silver coin and bullion June 30, 1876—a total amount of both gold and silver coin and bullion of $181,678,000. This increase during the year of about $39,000,000 in the national coin is gratifying, in view of the future resumption of specie payments and the fulfillment of the laws in relation to the same.

CHANGE IN THE RELATIVE VALUE OF GOLD AND SILVER.

The average relative value of gold and silver from the establishment of the money-system of the United States in 1792 down to the year 1870 was about as 1 to 15J, from which ratio there were no important variations, except that in 1859 silver appreciated nearly five per cent., as compared with its relative value to gold in 1843. In 1760 the relative value of gold and silver was as 1 to 14.29; in 1781,1 to 13.33 ; and in 1809, 1 to 16.25 ; or a change of 21^ per cent. Taking 1781 as the year of the highest relative value of silver since 1760, and the average of the first seven months of 1876 as the lowest within a period of 95 years, shows a change of 34 per cent, in the relative value of the two metals. In 1849 the ratio was as 1 to 15.78, and in 1859, 1 to 15.19, representing a change of 3T8^ per cent. This covered the period of an extraordinary addition to the world's supply of gold from the mines of California and Australia. That the change in relative value was not greater than this appears to be conclusive that either there existed a vacuum for the absorption of gold or that it is naturally more unvarying in value than silver. Evidences of an approaching important alteration became apparent in 1872, or immediately after a change from a silver to a gold standard by the German Empire had been definitely determined upon. This change progressed very gradually during the years 1872, 1873, and 1874, became marked in 1875, and during the first seven months of 1876 was so great as to be without a parallel in modern times. At one time in July of this year, the commercial relation of the two metals was as 1 to 20.17.* Since the last-named date there has been a gradual recovery, the price at present, October 20,1876, being 103-^ cents per standard ounce, corresponding to a ratio of 1 to 17.96. The large purchases of silver by the United States no doubt had a very decided effect in arresting the decline and also in promoting the recovery in price which has since taken place. If the substitution of silver coin for the fractional currency had not been undertaken in this country, the price of silver would no doubt have fallen lower than it did in July last, and its appreciation since then been less than it has been.

* This temporary and exceptional ratio of 1 to 20.17 in July, 1876, compared with that of 1 to 13.33, the average during 1781, showed a change in relative value of 51-& per cent, in a period of 96 years, during which there were various fluctuations.

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The change in the relative value of the precious metals is not, however, due altogether to the depreciation of silver, there evidently having been during the same period, 1871 to 1876, an appreciation of gold; but it is slight compared with the depreciation of silver. In making this statement in reference to gold, I am aware that nearly all the proini- nent authorities in Europe, including the highly intelligent British commission which recently examined and reported on this subject, treat the change in the relative valuation of gold and silver as being solely a depreciation of silver. The new gold coinage of Germany, which commenced in 1872, now amounts to more than $337,000,000 in our money terms. While this coinage has been in progress, Austria and the Netherlands, countries of the silver standard, have each coined gold for the purpose of regulating and conducting foreign exchanges, and France has largely increased her stock of that metal. I cannot but think that the demand for gold by these countries and the Scandina- vian States, in which there has been recently a change to the gold standard, exceeded the supply available for coinage from the mines of the world, and to a sufficient extent to produce a slight advance in its value. The dividing-line between the depreciation of silver and the appreciation of gold cannot be accurately determined; but it is very clear that the change in the relative value of the two metals has been principally caused by depreciation of silver. The causes which effected this unex- ampled change were stated and discussed in my previous reports; but they may be summarized in the order of their importance in producing the decline, as follows : First, the change from the silver to the gold standard by the German Empire and the Scandinavian States; second, the use of a forced paper currency in Russia, Austria, and some other countries; third, diminished demand for export to the Indies and China; fourth, the limitation placed on the coinage of silver by countries of the double standard; fifth and last, increased production of that metal. The alteration in the relative value of the two metals shows conclusively that their exchange or purchasing power is due, in a greater degree, to their use as money, than has heretofore been generally con- ceded, and this point must not be lost sight of in considering their probable future relative value.

REVIEW OF THE SEVERAL PROPOSITIONS FOR THE COINAGE OF LEGAL TENDER SILVER DOLLARS UNDER A DOUBLE STAND ABD, &C.

The decline in the value of silver and the approach of the time fixed by law for specie resumption has led to a proposition for the restoration of the silver dollar of 412J grains, with unrestricted coinage and unlimited legal-tender. This proposition, if adopted, would make the relative value of gold to silver in the coinage as 1 to 15.9884, or very nearly 1 to 16. A dollar of 412.8 grains, which would correspond exactly to the relation of 1 to 16, and one based on the ratio of 1 to 15J, have also been proposed. In the discussion of some of these propositions it has been intimated, if not directly charged, that the repeal by the coinage act of 1873 of what may properly be termed the remnant of the silver standard left by the demonetizing legislation of 1853, was done without due consideration or in the interest of certain creditors of the United States and to insure payment of the latter in gold coin. An examination of the public records will show that the discussion and consideration of the act referred to covered a period of more than two years, that there was no

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concealment as to any of its provisions, and that all proper care was exercised to render the measure as perfect as possible. The Director was frequently consulted in relation to the various provisions of the act, from its incipiency to its final passage, and he is able to state that, from first to last, there was no desire or effort on the part of any one advocating the measure to favor either debtors or creditors, or to do anything other than what they believed to be, from the best of their knowledge, entirely in the interests of the public service and of the people of the country at large. The original draft of the bill revising the laws relative to the mints, assay-offices, and coinage of the United States was prepared in 1869 and 1870, under the supervision of John Jay Knox, then deputy and now Comptroller of the Currency, and was transmitted to the Senate by the Secretary of the Treasury April 25, 1870, the views and criti- cisms of the Mint and Treasury officers and other gentlemen conversant with metallurgical and coinage subjects having been previously requested, received, and published, in compliance with a resolution of the House of Kepresen tatives. The report of Mr. Knox, which accompanied the bill, explained in detail the proposed amendments, and referred specifically to the silver dollar and its discontinuance as a standard. The bill, after discussion, passed the Senate January 10, 1871, and on the 27th of May of the following year, 1872, passed the House of Representatives. Having been amended by the House, it was returned to the Senate, and passed that body January 17, 1873. It next came before a conference committee of the two houses, and subsequently, February 12,1873, became a law, nearly three years after its introduction in the Senate. It appears from the official documents that only one or two of the numerous experts who examined the bill recommended the retention of the silver dollar, and that not a single member of Congress in debate opposed its aban- donment. The following extracts from the speeches of different members of the House of Representatives oil the coinage bill prove beyond question that the proposed abolition of the silver dollar was well understood at the time that measure was pending. Mr. Hooper, who had the bill in charge and explained its provisions in detail, said : * * * Section fourteen declares what the gold coins shall be, and their respective weights, and makes them a legal tender in all payments at their normal value, when not below the standard weight and limit of tolerance prescribed, and at a valuation proportioned to their actual weight when below the standard weight and tolerance. Thus far the section is a re-enactment of existing laws. In addition, it declares the gold dollar of twenty-five and eight-tenths grains of standard gold to be the unit of value. Gold practically having been in this country for many years the standard or measure of value, as it is legally in Great Britain and most of the European countries, the silver dollar, wThich by law is now the legally declared unit of value, does not bear a correct relative proportion to the gold dollar. Being worth intrinsically about one dollar aud three cents in gold, it cannot circulate concurrently with the gold coins. The law of 1792, now in force, provided for the coinage of " dollars or units, each to be of the value of a Spanish milled dollar, as the same is now current, and to contain three hundred and seventy-one and four-sixteenths grains of pure or four hundred and sixteen grains of standard silver. The Spanish dollar of full weight then in circulation contained three hundred and seventy-four and seven-eighths grains of pure silver, but the variation or error in fixing the weight of the American dollar is said to have arisen from assuming the average instead of the highest weight of any one of the number of pieces assayed for that purpose. As the value of the silver dollar depeuds on the market-price of silver, which varies according to the demand and supply, it is now intrinsically worth, as above stated, about three cents more than the gold dollar. By the act of January 18,1837, the standard of the silver coins was increased to nine hundred thousandths fine, which reduced the weight of the dollar from four hundred and sixteen to four hundred and twrelve and a half grains: the amount of pure silver, however, remained the same.

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namely, three hundred and seventy-one and one-fourth grains. The committee, after careful consideration, concluded that twenty-five and eight-tenths grains of standard gold, constituting the gold dollar, should he declared the money unit or representative of the dollar of account. Section sixteen re-enacts the provisions of the existing laws defining the silver coins and their weights, respectively, except in relation to the silver dollar, which is reduced in weight from 412^ to 384 grains, thus making it a subsidiary coin in har- mony with the silver coins of less denomination to secure its concurrent circulation with them. The silver dollar of 412| grains, by reason of its bullion or intrinsic value being greater than its nominal value, long since ceased to be a coin of circulation, and is melted by manufacturers of silver ware. It does not circulate now in commercial transactions with any country, and the convenience of these manufacturers in this respect can. better be met by supplying small stamped bars of the same standard, avoiding the use- less expense of coining the dollar for that purpose. (Congressional Globe, vol. 102, p. 2305.)

Mr. Stoughton, of the Coinage Committee, in advocating the billr said: The gold coins provided for are as follows: Troy grains. Double-eagle, ($20) 516 Eagle, ($10) ' 258 Half-eagle, ($5) 129 Quarter-eagle, ($2.50) 64.5 Three-dollar piece, ($3) 77.4 One dollar, ($1,) the unit of value 25.8 Which are declared to be a legal-tender for all sums at their denominational value. Aside from the three-dollar piece, which is a deviation from our metrical ratio, and therefore objectionable, the only change in the present law is in more clearly specify- ing the gold dollar as a unit of value. This was probably the intention, and perhaps the effect, of the act of March 3, 1849, but it ought not to be left to inference or im- plication. The value of silver depends, in a great measure, upon the fluctuations of the market and the supply and demand. Gold is practically the standard of value among all civilized nations, and the time has come in this country when the gold dollar should be distinctly declared to be the coin representative of the money unit. (Same, p. 2308.) Mr. Potter, in commenting upon the bill, says: Mr. Speaker, this is a bill of importance. When it was before the House in the early part of this session I took some objections to it which I am inclined now to think, in view of all the circumstances, were not entirely well founded, but after further reflec- tion I am still convinced that it is a measure which it is hardly worth while for us to adopt at this time. * * * This bill provides for the making of changes in the legal- tender coin of the country, and for substituting as legal-tender coin of only one metal instead as heretofore of two. I think myself this would be a wise provision, and that legal-tender coins, except subsidiary coin, should be of gold alone ; but why should we legislate on this now, when we are not using either of those metals as a circulating medium ? The bill provides also for a change in respect of the weight and value of the silver dollar, which I think is a subject which, when we come to require legislation about it at all, will demand at our hands very serious consideration, and which, as we are not using such coins for circulation now, seems at this time to be an unnecessary subject about which to legislate. (Same, p. 2310.) Mr. Kelley also said: I wish to ask the gentleman who has just spoken [Mr. Potter] if he knows of any government in the world which makes its subsidiary coinage of full value. The silver coin of England is 10 per cent, below the value of gold coiu, and, acting under the ad- vice of the experts of this country and of England and France, Japan has made her silver coinage within the last year 12 per cent, below the value of gold coin, and for this reason: It is impossible to retain the double standard. The values of gold and silver continually fluctuate. You cannot determine this year what will be the relative values of gold and silver next year. They were 15 to 1 a short time ago ; they are 16 to 1 now.

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Hence all experience lias sliown that you must have one standard coin which shall be a legal tender for all others, and then you may promote your domestic convenience by having a subsidiary coinage of silver, which shall circulate in all parts of your country as legal tender for a limited amount and be redeemable at its face-value by your government. But, sir, I again call the attention of the House to the fact that the gentlemen who oppose this bill insist upon maintaining a silver dollar worth, three and one-half cents more than the gold dollar, and worth, seven cents more than two half-dollars, and that so long as those provisions remain you cannot keep silver coin in the country. (Same, p. 2316.) It should also be noted that the Secretary of the Treasury, in his annual report for 1872, called the special attention of Congress to the decline in the value of silver and recommended legislation upon the subject as follows: In the last ten years the commercial value of silver has depreciated about 3 per cent, as compared with gold, and its use as a currency has been discontinued by Germany and by some other countries. The financial condition of the United States has pre- vented the use of silver as currency for more than ten years, and I am of opinion that, upon grounds of public policy, no attempt should be made to introduce it, but that the coinage should be limited to commercial purposes, and desigued exclusively for commercial uses with other nations. The intrinsic value of a metallic currency should correspond to its commercial value, or metal should be used for the coinage of tokens redeemable by the Government at their nominal value. As the depreciation of silver is likely to continue, it is impossible to issue coin redeemable in gold without ultimate loss to the Government; for when the difference becomes considerable the holders will present the silver for redemption and leave it in the hands of the Government, to be disposed of subsequently at a loss. Therefore, in renewing the recommendations heretofore made for the passage of the Mint bill, I suggest such alterations as will prohibit the coinage of silver for circulation in this country, but that authority be given for the coinage of a silver dollar that shall be as valuable as the Mexican dollar, and to be furnished at its actual cost. The proposed change in our monetary system involves grave consequences and requires the most careful consideration. Before entering into detail upon the subject, it is proper to briefly refer to the monetary legislation enacted in this country prior to 1S73, and the practical results which followed the same. The question of a single or a double standard is by no means a new one in this country; on the contrary, it has received as careful consideration, and been as intelligently discussed, in the United States as in any other country. It came up soon after the organization of the Federal Government, and in connection with the establishment of a mint and a money system, and was elaborately and ably reviewed by Alexander Hamilton, as will be seen by reference to his celebrated report on the establishment of the Mint. In that report the inquiry was raised " whether the money unit of the United States should be peculiarly attached to either of the metals in preference to the other or not, and, if to either, to which of them On this and other important points connected with the subject, the following observations were made: "An additional reason for considering the prevailing dollar as the standard of the present money unit, rather than the ancient one, is, that it will not only be contormable to the true existing proportion between the two metals in this country, but will be more conformable to that which obtains in the commercial world generally. The difference established in the United States by custom between coined gold and coined silver has been stated upon another occasion to be nearly as 1 to 15.6. This, if truly the case, would imply that gold is extremely overvalued in the United States, for the highest actual proportion in any part of Europe very little, if at all, exceeds 1 to 15, and the average proportion throughout Europe is probably not more than about 1 to 14.8. But that statement has proceeded upon the idea of the ancient dollar. One pennyweight of gold 22 carats fine, at 6s. Sdn and the old Seville

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piece of 386 grains and 15 mites of pure silver, at 7s. M., furnish the exact ratio of 1 to 15.6262. But this does not coincide with the real difference between the metals in our market, or, which with us is the same thing, in our currency. To determine this, the quantity of fine silver in the general mass of the dollars now in circulation must afford the rule. Taking the rate of the late dollar of 374 grains, the proportion would be as 1 to 15.11. Taking the rate of the newest dollar, the proportion would be as 1 to 14.87. The mean of the two would give the proportion of 1 to 15, very nearly; less than the legal proportion in the coins of Great Britain, which is as 1 to 15.2; but somewhat more than the actual or market proportion, which is not quite 1 to 15. " The preceding view of the subject does not indeed afford a precise or certain definition of the present unit in the coins, but it furnishes data which will serve as guides in the progress of the investigation. It as- certains, at least, that the sum in the money of account of each State, corresponding with the nominal value of the dollar in such State, cor- responds also with 24 grains and f of a grain of fine gold, and with something between 368 and 374 grains of fine silver. "The next inquiry toward a right determination of what ought to be the future money unit of the United States turns upon these questions: Whether it ought to be peculiarly attached to either of the metals, in preference to the other, or nbt; and, if to either, to which of them ? "The suggestions and proceedings hitherto have had for their object the annexing of it emphatically to the silver dollar. A resolution of Congress on the 6th of July, 1785, declares that the money unit of the United States shall be a dollar; and another resolution, of the 8th of Au- gust, 1786, fixes the dollar at 375 grains and 64 hundredths of a grain of fine silver. The same resolution, however, determines that there shall also be two gold coins, one of 246 grains and 268 parts of a grain of fine gold, equal to ten dollars, and the other of half that quantity of pure gold, equal to five dollars. And it is not explained whether either of these two species of coins of gold or silver shall have any greater legality in payments than the other. Yet it would seem that a preference in this particular is necessary to execute the idea of attaching the unit exclusively to one kind. If each of them be as valid as the other in payments to any amount, it is not obvious in what effectual sense either of them can be deemed the money unit rather than the other. If the general declaration that the dollar shall be the money unit of the United States could be understood to give it a superior legality in payments, the institution of coins of gold, and the declaration that each of them shall be equal to a certain number of dollars, would appear to destroy the inference. And the circumstance of making the dollar the unit in the money of account seems to be rather matter of form than substance. " Contrary to the ideas which have hitherto prevailed in the suggestions concerning a coinage for the United States, although not without much hesitation arising from a deference for those ideas, the Secretary is, upon the whole, strongly inclined to the opinion that a preference ought to be given to neither of the metals for the money unit. Perhaps, if either were to be preferred, it ought to be gold rather than silver. The reasons are these: u The inducement to such a preference is to render the unit as little variable as possible, because on this depends the steady value of all contracts, and in a certain sense of all other property. And it is truly observed that, if the unit belong indiscriminately to both the metals, it is subject to all the fluctuations that happen in the relative value which

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they bear to each other. But the same reason would lead to annexing it to that particular one which is itself the least liable to variation, if there be, in this respect, any discernible difference between the two. " Gold may perhaps in certain senses be said to have greater stability than silver, as being of superior value. Less liberties have been taken with it in the regulations of different countries. Its standard has remained more uniform, and it has in other respects undergone fewer changes. As being not so much an article of merchandise, owing to the use made of silver in the trade with the East Indies and China, it is less liable to be influenced by circumstances of commercial demand. And if, reasoning by analogy, there could be affirmed that there is a physical probability of greater proportional increase in the quantity of silver than in that of gold, it would afford an additional reason for cal- culating on greater steadiness in the value of the latter. "As long as gold, either from its intrinsic superiority as a metal, from its greater rarity, or from the prejudices of mankind, retains so considerable a pre-eminence in value over silver as it has hitherto had, a natural consequence seems to be that its condition will be more stationary. The revolutions, therefore, which may take place in the comparative value of gold and silver will be changes in the state of the latter rather than in the former." It appears from the foregoing extract thaf, while admitting his preference for gold as the monetary unit, Hamilton, for reasons which he explained, recommended the use of both metals in a fixed ratio, and with precisely equal functions in respect to legal tender and as representatives of the money of account. The original coinage act, approved April 2, 1792, established the money of account and a double standard of gold and silver, in the relative valuation of 1 to 15, which proportion for the coinage was believed at that time to correspond with the commercial relation of the two metals; but soon after the coinage commenced it was found that gold was undervalued, and that coins of this metal were nearly always at a premium, and were generally either melted or exported soon after being issued from the Mint. As early as 1819 the subject of a remedy for this evil received the attention of some of the most prominent statesmen and financiers of that day, and brought on a discussion which continued, with some interrup- tions, for fifteen years, during which time the subject was examined and reported on by a select committee of the Senate and a select committee of the House of Representatives. These reports show that the persons composing the committees possessed an extensive knowledge of the sci- ence of money, and that the examination was exhaustive and complete in every respect. The result of the discussion from 1819 to 1834 was the passage, in the year last named, of an act in which the coining rate of gold was increased 6.681 per centum, which was accomplished by simply reducing the weight of the gold coins. The object of this act was to insure to the country the circulation of gold; consequently there was not any reference in it to the silver coins, or to a proportional standard of silver and gold, as in the act of 1792. The subject was again discussed prior to and in connection with the coinage legislation of 1852 and 1853. The double standard established by the act of 1792 was in effect materially changed by the reduction in the weight of the gold coins by the act of 1834. This latter act was modified by a subsequent act, of January 18, 1837, altering the proportion of fine metal in the coins to nine-tenths. The actual weights were also necessarily altered to correspond, but the intrinsic value of the coins as represented by the pure gold and silver

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remained practically the same, and we therefore designate the act of 1834 as that which was operative in introducing the changed ratios of the gold and silver coins. The section of the act of 1792 establishing a proportional standard of gold and silver is as follows: " SECTION 11. And be it further enacted, That the proportional value of gold to silver, in all coins which shall by law be current as money within the United States, shall be as 15 to 1, according to quantity in weight of pure gold or pure silver. That is to say, every fifteen pounds weight of pure silver shall be of equal value in all payments with one pound weight of pure gold, and so in proportion as to any greater or less quantities of the respective metals.'7 The provisions of this section applied to current foreign coins, as well as those issued under the provisions of the act. The silver dollar authorized by the act of 1792, and which, prior to the change of standard in 1834, was of less value than the gold coin, did not enter to any extent into circulation as money, and its coinage was suspended at the close of the year 1804, up to which time there had been only 1,439,517 pieces coined. No silver dollars were struck from that time until 1837, except some specimen pieces in 1836 to illustrate a new die, and which were not issued. In the legislation of 1834, as in that of 1792, the gold coinage was based on the valuation of that metal, understood at the time to correspond with its commercial relation to silver; but silver being undervalued in our coinage, as compared with its coining rate in France and some other countries of the double standard, the tendency was to its exportation. At the end of about sixteen years, and notwithstanding there had been a continuous coinage of the small silver coins, they had, in consequence of their undervaluation, been melted and exported to an extent rendering change-money very scarce, and entailing great inconvenience to the country, and a new adjustment again became necessary. An act was then (1853) passed demonetizing the half-dollar, quarter-dollar, dime and half-dime by a reduction of 7.4 per cent, of their weight, and a limitation of their legal tender to $5. This insured the retention of these denominations of silver coins in circulation until they were expelled, soon after the commencement of the late war, by the issue of a forced paper currency. The silver dollar was not referred to in this last act, and probably for the reason that it had never constituted any appreciable portion of the circulating medium, and for the additional reason that the gold dollar, or unit, authorized four years previously, (act of March 3, 1849,) had already been largely coined, and supplied the place in the circulation for which the silver dollar was originally intended. With the exception of the fractional denominations of the dollar for the purpose of change, gold became the principal money of coin-payments after the year 1834, and so continued until 1873, when it was made by law the metallic money standard. It should here be stated • that, with the exception of the act of April 2, 1792, the various acts of Congress make no reference to a proportional standard of gold and silver, but simply fix weight, fineness, and legal tender of coins; and this course appears to have been followed in omitting the silver dollar, three-cent silver, and two-cent bronze coins in the coinage act of 1873. For many years prior to 1873 gold appears to have been recognized as the monetary standard of the United States in legislation and in Treasury transactions. The act of February 21,1853, demonetizing silver

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coins, authorized their issue in exchange only for gold coins, and gold coins thus received were to be used in the purchase of silver bullion for coinage of fractional pieces. This act wholly ignored the silver dollar. The act of March 3, 1863, authorized the Treasury to receive deposits of gold coins and gol£ bullion, and to issue certificates therefor, in sums of not less than twenty dollars, corresponding with the denominations of United States notes, and redeemable in gold coin on demand. This act shows unmistakably that gold and not silver obligations had to be provided for. In the Mint Report for 1861 the then Director, ex-Governor Pollock, made the following observations in reference to the positions of the gold and silver dollars: "The gold dollar of the United States, conforming in standard value and decimal character to all the gold and silver coinage of the country, except the silver dollar, has been properly selected and should be retained as the standard of value for all foreign coins used or employed in commercial or governmental transactions with other nations. The silver dollar of the United States, differing as it does in commercial and decimal value from the other silver coins of the country, cannot, without disturbing our decimal system and producing confusion in the relative value of our gold and silver coinage, be used as a standard. The legal weight of the silver dollar is 412J grains ; of two half-dollars, or other component fractions of the dollar, 384 grains—a difference of 28J grains. " The silver dollar as it now is has actually three values : " 1st. It is by law a dollar simply, or 100 units or cents. " 2d. By the Mint-price of silver it is 103.98 cents, which is its true commercial value, as compared with gold. " 3d. It has an interior or Mint-value, which is determined by its relation to the silver contained in the half-dollar, which makes it 107f| cents; for which reason single pieces are paid out at the Mint at the even price of 108 cents. "As the dollar, which is the unit of our money, is represented in gold coin, it would seem desirable not to have another dollar in another metal; but if this is inadmissible, and the silver dollar should be retained, then it should be reduced to eight-tenths of an ounce, to be in true relation to our other silver coins. " Two reasons seem to have influenced Congress in retaining the silver dollar at its present anomalous terms: First, that it preserves the old dollar, known from the beginning of our coinage, and often exactly stipu- lated for in deeds of rent-charge, mortgage, and other moneyed securities. To this it may be successfully replied that such payments are now always made in gold, because it is the legal and usual tender for all sums exceeding. five dollars, and because silver dollars are no longer to be had, or are very rare. In the second place, it was supposed to be needed for our China and East India trade. But our consular advices are to the effect that our silver dollars are very reluctantly taken at the ports, and not at all in the interior of China. They are believed by the Chinese to be of less value than they really are. The reasons for its retention having ceased, either we should cease to coin the silver dollar or it should be made to conform in weight and value to our lesser silver coins.'7 Foreign exchanges have been adjusted for many years on a gold basis, and it cannot be ascertained that the silver dollar ever entered to any extent into the fixing of international tariffs or in United States receipts and payments. Taking these facts into consideration, and, notwithstanding the silver dollar occupied by law the position of an unlimited tender, it appears that the general understanding at home

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and abroad has been that the money of coin payments in this country since 1834 was gold, and that when the word coin was used in connection with the financial transactions of the Government, it meant gold coin. The silver dollar certainly could not have been intended as the money in which coin obligations were to be discharged, for the reason that from 1834 to 1873 it had rarely appeared in circulation, and during the greater portion of that time was at a premium, the general range of which was from one to five per cent. The coinage act of 1873, in so far as it made gold the standard of value, simply confirmed the p sition which that metal had practically held in this country for a period of thirty-eight years. Prior to 1860 little or no silver, except that contained in native gold, had been produced in the United States, but there had been a continuous yield of gold for thirty years, and our country was known all over the world as a gold country. In modern times there has never been, so far as the Director has been able to ascertain, an instance of a government undertaking to establish unlimited legal-tender coins at a value above that of the commercial rate of bullion. On the contrary, the actual commercial relation of the precious metals appears in all cases to have been taken into account in fixing money standards, and the metals valued in the unlimited-tender coinage strictly in conformity therewith, except in a few instances, where a trifling seigniorage had been exacted to cover the cost of coinage. The foregoing reference to the silver dollar of 412J grains appears to be called for from the fact that an idea prevails to some extent that if its coinage without restriction as to legal tender should again be authorized, it would, without further provision of law, occupy the position of a legal tender as to all unsettled debts and unexpired obligations made prior to April 1,1873. In concluding his observations on the proposition to restore the silver dollar of 412J grains, the Director thinks it proper to state what in his opinion would have been the probable effect had the silver dollar not been omitted as one of the coins to be issued under the provisions of the coinage act of 1873. Before silver could have been coined into dollar- pieces at an advantage to the owner over a sale in the market as bullion, its price would have had to fall to about 58^ pence per ounce British standard. Although silver fell to this point in November and Decem- ber of 1873, it appreciated sufficiently in the early part of 1874 to have made the dollar more valuable as bullion than coin. The price settled below that figure in July, 1874, and has not been up to it since. It is, of course, impossible to determine with certainty to what extent the coinage of silver dollars in the United States would have retarded the depreciation of silver. It would, no doubt, have had a somewhat greater effect in that direction than the coinage in the mean time of silver for the redemption of fractional currency, but France and her monetary allies might and probably would have taken advantage of such an opportunity to adopt the single gold standard, and cease altogether the coinage of legal-tender silver coins instead of merely placing as they did a limitation on their coinage and issue of silver, which would have thrown a supply on the market greatly in excess of the amount which could possibly have been used for coinage in the United States. I think it is safe to assume that had our mints been open for the coinage of the silver dollar and no further change in European monetary standards had occurred, the effect would have been to have kept the price of silver bullion up to a point at which it could not have been profitably coined into dollar-pieces until after May, 1875, when the 20 P

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prices settled to 56J pence per ounce British standard. The silver dol. lar would have been receivable for customs-dues to the United States and there would have been a demand for it for that purpose to the extent of the capacity of the mints to coin it, say $40,000,000 per annum. This coin would have passed in and out of the Treasury continuously and taken the place of so much gold coin. The silver dollar would have taken this course for the simple reason that while silver in the market was worth 111.4 cents per standard ounce in gold, the coining rate was 116.3 cents per ounce, which, after deducting one-half per cent, for coining, would have given the depositor of silver at the mints a profit of nearly 4£ per cent., which profit would have increased to 25 per cent, when silver fell to 47 pence. The use of gold in the payment of customs-duties would have decreased as the supply of silver dollars increased, and by this time it is probable that the Treasury stock of coin would have consisted principally of silver dollars. As all the silver dollars that could have since been coined would have found employment in the manner indicated, they would thereby have been given a value as money above their value as bullion, as well as above that of legal-tender notes, and consequently could not have circulated concurrently with the latter. Having stated and discussed the salient points connected with the restoration of the dollar of 412J grains, I shall next refer to it and the other propositions as having for their object the establishment by law of a double standard of gold and silver on the following ratios, 1 to 15£, 1 to 15.9884, and 1 to 16. The last two propositions being substantially the same, they will be referred to as 1 to 16. In plain words, these propositions are to stamp 15£ and 16 ounces, respectively, of pure silver, and one ounce of pure gold, as of the same value, with unrestricted coinage and unlimited legal tender. The average relative value of the two metals for 1874 was as 1 to 16.17; for 1875, 1 to 16.58, and for the first seven months of 1876, 1 to 17.85. It appears to be assumed by the advocates of a double standard that its establishment by the United States on a relative valuation corresponding with that which prevailed for some years prior to 1872, namely, 1 to 15J, would induce France and other countries of the double standard to adhere permanently to the same, and remove the existing restriction on the legal-tender silver coinage, and cause an early restoration of the two metals to the relative value which they occupied for some years prior to the demonetization of silver by the German Empire. If this result be admitted as probable, the proposition for basing a double standard in this country on the proportion of 1 to 16 must be regarded as unsound and impracticable. The ratio of gold to silver in the countries of the double standard is 1 to 15£, and if we should adopt the proportion of 1 to 16, the coining rate or value of silver in the United States would be 3.22 per cent, less than in other countries of the double standard. Therefore, whenever the commercial relation should be restored so that it would be as 1 to 15J, the silver coins of the United States would be exported, and we would have a repetition of the difficulties which followed the coinage legislation of 1834. It is evident that if either of these proportions is to be adopted, that of 1 to 15J is decidedly preferable to that of 1 to 16. Taking the experience of the past as a criterion, it would appear that a double standard cannot be arranged to insure for any considerable period of time the concurrent circulation of unlimited legal-tender gold and silver coins. At best it would prove but an optional standard and tender. The coins of the less valuable metal, whichever it might be, would be used for payment, and expel from circulation those of the

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DIRECTOR OF THE MINT. 307

more valuable metal. Should the relative value in the coinage be fixed on the assumption that 15J ounces of pure silver are equivalent in value to one ounce of pure gold, when it requires, as at the present time, more than 17 ounces of silver to purchase an ounce of gold, it would in its practical results be the establishment of a silver standard on the basis of an overvaluation and to the exclusion of gold, and so continue until, by an appreciation of silver or depreciation of gold, or by both, the relative value of the two metals in the coinage would be brought to correspond with their commercial relation; moreover, the coin standard would be lowered to an equal extent with a dollar of 400 grains, the purchasing or exchange power of which quantity of silver is at present* and has been for some months past, less than the legal-tender paper dollar, in which, as a general rule, nearly all existing obligations, exclusive of the public debt, are payable. It is claimed by some, as before stated, that the present depreciation of silver is but transient, and that a rapid appreciation would follow the adoption of the double standard by this country. This would depend upon events which cannot clearly be foreseen, and circumstances beyond the control of legislation. The monetary position in Europe is such as to press France and other countries of the double standard very strongly toward the adoption of the single gold standard, and there appears to be no prospect of a resumption of specie payment by Russia and Austria, the paper currency of which is based on.the silver standard. If France, whose national bank holds more than $100,000,000 silver, should adopt the single gold standard, Belgium, the Netherlands, and Switzerland would be compelled to follow, in which case a more serious depreciation of silver than has yet occurred might be expected. On the contrary, if there should be no further change in Europe from silver or from double standards to the single gold standard, and the United States should adopt the double standard, it is not at all improbable that after we had practically come to the silver standard, and gold had been expelled from the country, a demand for silver might arise sufficient to induce the exportation of our silver coins. It is also true that in such an event gold would be imported to some extent in return, but it is equally true that before it and the domestic production could be received and coined to an extent sufficient for the purpose, the country might suffer severely for want of a circulating medium. It should be remembered that the bulk of the world's stock of silver is held in Asia, and that a silver current has rarely, if ever, set in from there toward Europe or America that portion of the accumulated stock cannot therefore be regarded as in a position to be drawn upon, whatever may be the future necessities and requirements of Europe and America. Gold, on the contrary, is held principally by the highly-civilized nations of the world, those having intimate commercial relations with each other, and it is constantly passing from one to another to meet the demands and requirements of trade. Any coin transaction requires from 15J to 17J times more weight of silver than of gold, and it cannot therefore be moved with the same rapidity and convenience. The annual gold product of the world is probably greater than of silver by about twenty-five million dollars, and there does not appear to be any well-grounded reason why this proportion should materially change, at least during the present generation. In modern times there has been an age of silver and an age of gold; these metals have each a position differing from the other. After the discovery and opening of the South American mines, silver was the

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308 REPORT ON THE FINANCES.

standard of the commercial world, and continued so, with trifling exceptions, until the vast yield of gold from the placers and mines of Cali- fornia and Australia changed the current of money affairs, as well as the previously-existing standards. Gold then gradually took the place of silver in nearly all civilized countries, and is now the money of commerce in Europe and North America, and, with the exception of Asia, it regulates the exchanges of the world. From the foregoing it would appear that the following facts are well established. Of the two metals, gold is especially adapted for making large payments, for the reason that it is about one-seventeenth of the weight of a like value of silver, and for the same reason it does not admit of being coined into pieces of less denomination than a dollar. Silver, on the contrary, being only about one-seventeenth of the value of gold, weight for weight, can be made into coins sufficiently small to represent the decimal divisions of the dollar of account. In consequence of the frequent changes in relative value to which, from a variety of causes, the two precious metals are subject, one or the other must be the nearer approach to an unvarying monetary standard. If gold be select d, silver must be assigned to a subordinate position; and if silver be c osen, gold will then naturally be used solely for commercial purposes Important changes in the commercial relation of the two metals may be expected to occur more frequently in the future than in the past, and on whatever ratio a double standard might be based, it would prove so in name only. The maintenance without variation of a double standard based upon a fixed ratio in the value of gold and silver, would require that the demand and supply of both metals should at all times be equal, and this depends upon so many contingencies that it is impossible. The nearest approach to an unvarying double standard would be its general adoption on the same basis by the principal countries of the world, and by giving the right to creditors to require that an equal proportion of coins of the two metals be made in tenders of payment. The United States has now by law two different legal-tender moneys, gold and paper, the first permanent and the other intended at the time of its adoption to be temporary. The establishment of a double standard would create a third legal-tender before the temporary one, called into existence when the country was in the throes of a great civil war, has been withdrawn, or its appreciation secured to an extent necessary to insure beyond question the retention in circulation of the silver coins now being issued. It is safe to say that it would be likely to lead to much confusion, and become the fruitful source of disputes in respect to unexpired contracts and engagements made prior to its adoption, unless its relation to the same should be clearly defined by law, and the more especially so if there should be a further depreciation of silver. Should a double standard be adopted and a further depreciation of silver take place, or even be seriously apprehended, it is not improbable that protection as to subsequent contracts would be sought through State legislation, similar to that which took place in California after the issue of United States legal-tender notes commenced, and under which business has since been carried on in that State on the gold standard, to the exclusion of United States notes, gold coins being uniformly specified as the medium of payment in all contracts and engagements. The disadvantages which would result from the extension of such a system need not here be enumerated or described; sufficient to say, that the skilled dealers in money, who operate for small profits, would greatly multiply, and the people generally suffer losses and inconveniences from which they would otherwise be exempt.

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DIRECTOR OF THE MINT. 309

An examination of the annexed diagram, exhibiting the fluctuations in value of a paper dollar and of a silver dollar of 412J grains, as compared with gold, during seven months of the present calendar year, shows that while a paper dollar has enhanced in value from the first of January, with but slight variations, fluctuations in the gold value of a silver dollar have been constantly occurring. It is true that this may be said to be caused by an exceptional decline in the value of silver, which probably may not occur again for a considerable period of time; but it is also true that what has occurred in the past may again happen in the future; the more particularly so since silver appears to have been abandoned to a great extent by the civilized world as a measure of values and has become an article of speculative trade. By adhering to the single gold standard as the basis of our monetary system, and availing ourselves of the indispensable auxiliary of a convertible paper currency, together with a sufficient supply of silver coin for change and small payments, the difficulties and disadvantages which always attend complex standards will be avoided. Such a safe and simple system may, within a reasonable period of time, be fully attained, and when once in successful operation would no doubt so commend itself to the favor of the public as to hereafter render the discussion of the subject unnecessar}7 and exempt the country from the evils which, as a rule, attend and follow legislative propositions for changing monetary laws. The use of the silver coins would be materially extended by increasing the amount for which they are a legal tender by lawto ten dollars. In Great Britain silver coins have been a legal tenderto the amount of forty shillings, equal to $9.73 United States money, since the year 1816,' and with advantage to that country, so far as we are advised. Believing that the increased legal tender of our silver coins above suggested could be made with advantage to the country, I have no hesitation in recommending the same, and also that on and after resumption of specie payments these coins be made receivable by law at the Treasury of the United States and its principal offices in payment of all dues except duties on imports. A provision of this kind would prevent the disadvantages experienced by laborers and retail dealers who, when these coins accumulate on their hands, find it difficult to pay them out, and have to dispose of them at a small discount. This may become quite a serious inconvenience in the large cities and principal towns, and should be properly guarded against. I am unable to perceive that such a provision would interfere with the proper distribution of these coins, nor should there be any difficulty in the Treasury paying out or exchanging them at par for gold coin after resumption, provided the restriction which existing laws place on the issue of silver coins be strictly observed. This coinage being manufactured exclusively on Government account, could at any time be sus- , pended and banks and other applicants supplied with change by the Treasury. If this plan should appear to be too wide in its scope, the receipt of such coins by the Treasury might be limited to one hundred dollars in any one payment, until experience should demonstrate its advantages or disadvantages. Authority of law should also be given for the withdrawal from circulation and recoinage of such silver coins, except the trade-dollar, as by natural wear may become worn to an extent rendering the inscriptions illegible or the coins in other respects unsuitable for circulation. The Government realizes a seigniorage in the issue of these coins, and should keep them in good condition.

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310 REPORT ON THE FINANCES.

It should also, by proper restriction as to issue, and by receiving them in payment as herein recommended, keep their purchasing-power in small sums equal to the full legal-tender money. The amount of silver coin in circulation in Great Britain on the 31st of December last is estimated by competent authorities to have been over $92,000,000, and there are no reasons why, if the law should be amended as herein suggested, an amount at least equal to that sum would not find useful employment in the ordinary money transactions of the people of this country, particularly after the resumption of specie payments and a general revival of business. The consumption of silver in so large a coinage would afford an important and legitimate protection to the silver-mining industries of this country, in which there has been a large outlay of capital. We might even go further than this, and coin the trade-dollar of 420 grains exclusively on Government account, and make it a legal tender say for fifty or a hundred dollars. It is already a valuable trade-coin, and if made a legal tender as above suggested, would be good for old debts of ground-rent, enable the banks better to stock themselves with specie, and in other ways prove a useful addition to the circulation. The special value which this coin possesses for export to China would operate to prevent a redundancy, and any undue withdrawal for export could be replaced by coinage at the Mint. Further than this I think it is apparent we cannot go, unless we are prepared to use silver as the exclusive money-standard, and deprive the country for an indefinite period of the unquestionable advantages of a gold currency. Whether, in such a case, silver coins would actually circulate more extensively than under the present system, amended as herein recommended, may well be doubted. Silver being of less convenience than gold, paper money would have to be employed to a much larger extent than uuder the gold standard, with silver subordinated and used in all transactions for which it is suited. For resumption in gold the country already has a stock of that metal amounting to about $150,000,000, which is upward of half the amount required for that purpose, aud the annual domestic production ot the same exceeds that of silver. Of the latter metal there is not probably more than three millions in the country, exclusive of change-money, plate aud other manufactured articles. We should not have any more difficulty in retaining our gold product than that of silver, and either or both will be exported as long as there are foreign balances which cannot be adjusted in some other way. If a double standard is to be established on a basis which will practically make silver the actual standard, the question arises as to the sources irom whence the necessary supply of silver is to be derived. The annual product of our mines, even at the increased rate of last year's production, and which it is probable will not be permanently maintained, would be quite insufficient for the purpose) other countries would evidently have to furnish it to a considerable exten t, and it would naturally flow from those countries desiring to exchange their surplus silver for gold. Such an exchange would neither be creditable to our commercial position nor advantageous to this country in any respect. If it were practicable to have a concurrent circulation and use of unlimited legal-tender coins of both metals with unrestricted coinage, such as a double standard contemplates, it should undoubtedly be adopted. The system was fairly tried in this country for a period of eighty years, under conditions and circumstances much more favorable for its success than can reasonably be expected in the future, and proved impracticable.

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DIRECTOR OF THE MINT. 311

Under the same system, although based on a different ratio, and at the end of a less period of time, France, after having been compelled, in 1866, to demonetize all her silver coins except the five-franc piece to prevent their export, and, in 1874, to place a restriction on the coinage of silver, to prevent an undue influx at the expense of her gold, finds herself with a large stock of both metals on hand, with a difference of about sixteen per cent, between their coining and legal-tender rate or value, as compared with their commercial relation, in consequence of which the coins of the two metals cannot be set free without the certainty of the most valuable, gold, being exported. The practical question, therefore, to be considered and decided is whether it will be better for this country to adhere to the gold standard or change from that to silver. With the former, silver may, as an ad- junct, be largely and usefully employed, while under the latter the use of gold as money must necessarily be confined principally to the settlement of foreign balances and the discharge of obligations which by their terms are payable in coins of that metal. Without entering into details as to the relative advantages of a gold and silver standard and currency, respectively, it is evident that the former possesses a very decided advantage over the latter, on account of its greater value, weight for weight, and I may add that our commerce being principally with countries of the gold standard, is a strong reason why we should adhere to gold as the principal measure of property and the medium for effecting the exchange of equivalents. While entertaining these views on the subject generally, and in reference to the policy of the United States, I adhere to the opinion expressed in a previous report, that the situation with reference to monetary standards is such as not to justify for some time to come a further extension of gold standards. Silver is still the monetary standard of the densely populated countries of Asia, the Russian empire, Austria, and some other countries, and, together with gold, is a legal standard money in France, the Netherlands, Belgium, Italy, and Switzerland. A change in any of the countries named is not at all probable, with the exception, perhaps, of France, her monetary allies, (Belgium, Italy, and Switzerland,) and the Netherlands. These mayor may not change from the double to the gold standard. These countries, in their complex standard and the great change in the relative value of gold and silver, have a problem well calculated to tax to the fullest extent the wisdom of their statesmen and the learning of their economists. Its final solution is also of importance to Great Britain, and in lesser degree, to Germany; to the former on account of silver being the money standard of her extensive possessions in India, and to the latter for the reason that she has still a large stock of silver to dispose of. These complications are affecting, more or less injuriously, the industries and commercial interests of the greater portion of Europe and North America, and are of a character such as to leave but little hope that they can be removed by independent action on the part of individual countries. Sooner or later the question will probably receive the careful and intelligent consideration of an international convention, in which, whenever called upon, it will be our duty to participate. If one of the results of such a convention should be a proposition for the adoption for a term of years of a double standard on a common basis by Great Britain and the principal countries of Europe and America, it might, and probably would, be to our advantage to assent to the same.

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312 REPORT ON THE FINANCES.

Until such an international system should be adopted, it would appear, from thefacts set forth in the foregoing discussion and review of monetary standards, that the true policy of this country is to adhere to her present position, with such modifications as will best promote her home interests, mining industries, and internal trade, by giving silver the largest possible scope as a limited tender and for change purposes com- patible with its relation to gold, and at the same time increase its commercial value by promoting its exchanges with India and China, countries of the silver standard, which will probably always absorb any surplus production of this metal. If such an international system should not be adopted, some of the countries of the double standard may change to that of gold, the effect of which will be to enhance, more or less, the value of the latter and depreciate that of silver, but in this case the bulk of gold will naturally flow to the countries where it prevails as the standard, while silver, except as to coinage for change-money and manufacturing purposes, will find its way to the countries of the silver standard, the general tendency of which will be to establish an equilibrium. I have the honor to be, verv respectfully, H. E. LIKDERMAN, Director of the Mint. Hon. LOT M. MORRILL, Secretary of the Treasury.

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I.—Deposits and purchases of bullion at the mints and assay-offices during thefiscal year ended June 30,1876.

Mints. Assay-offices.

Decription. Total. Philadelphia. San Francisco. Carson. Denver. New York. Boise.

GOLD.

$7, 005,709 42 $7, 707,326 84 $823,948 82 $15, 536,985 08 United States bullion, (including gold contained in silver purchases) 1,048, 069 87 26, 661,445 47 "$3,"i75," 046*92" """$745,*294 *29 5,897,136 30 $63,536 54 37, 590,529 39 146, 051 17 271, 895 98 417,947 15 247,341 90 382 18 434, 095 24 681,819 32 Foreign coin ...... 11,410 22 119, 545 66 1, 980,127 92 2,111,083 80 Foreign bullion ...... 39,137 55 566,310 77 536, 457 44 1,141, 905 76

Total gold 8,497,720 13 35,054, 628 74 3,175, 046 92 745, 676 47 9, 943, 661 70 63, 536 54 57,480,270 50

SILVER.

Bars, (redeposits) 2,416,901 66 1,460, 650 35 63, 598 97 3, 941,150 98 United States bullion, (including silver purchases) 3,430,674 20 9,335,681 17 "*5," 049,"290*04" 6,_03i OO* 6, 077, 682 31 I, 670 75 23,901, 029 47 United States coin...... 4, 739 46 112 18 4, 851. 64 Jewelers'bars...... 34,917 52 143, 630 89 178, 548 41 Foreign coin 1,266 71 66,388 21 73, 590 43 141, 245 35 Foreign bullion 7,605 38 100,065 24 241,206 32 348,876 94

Total silver 5,896,104 93 10, 962,784 97 5, 049,290 04 6,031 00 6, 599, 821 10 1, 670 75 28, 515, 702 79

Total amount received and operated upon 14,393,825 06 46,017,413 71 8,224,336 96 751,707 47 16, 543, 482 80 65,207 29 85,995, 973 29

LESS REDEPOSITS.

Gold 7,005,709 42 7, 707, 326 84 823,948 82 15, 536,985 08 Silver 2,416,901 66 1,460, 650 35 63,598 97 3,941,150 98

Total redeposits...... 9,422, 611 08 9,167,977 19 887, 547 79 19,478,136 06

Total deposits and purchases 4,971,213 98 36, 849,436 52 8,224,336 96 751, 707 47 15, 655, 935 01 65,207 29 66, 517,837 23

oo >—* OO

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II.—Coinage at the mints of the United States during the fiscal year ended June 30, 1876. CO

United States mint, Car- United States mint, Phila- United States mint, San Total. delphia. Francisco. son. Denomination.

Pieces Value. Pieces. Value. Pieces. Value. Pieces. Value.

GOLD.

411,445 $8,228,900 00 1,345,000 $26,900,000 00 138,391 $2,767, 820 00 1,894,836 $37, 896, 720 00 832 • 8,320 00 5,000 50, 000 00 9,529 95,290 00 15,361 153,610 00 18, 415 00 14,360 71,800 00 Half-eagles 1, 677 8,385 00 9,000 45,000 OP 3, 683 45 135 00 w 45 135 00 a 21,221 53, 052 50 4,621 11,552 50 16,600 4i, 500 00 TJ 3,645 3, 645 00 3, 645 3,645 00 o 2,881, 525 00 1,949, 468 38,178, 962 50 w Total gold 422,265 8, 260,937 50 1, 375, 600 27,036, 500 00 151, 603 H

SILVER. O M 280, 050 280, 050 00 4,523, 000 4, 523, 000 00 1, 329, 000 1, 329,000 00 6,132,050 6,132, 050 00 1,514, 000 757, 000 00 9, 971, 050 4, 985,525 00 Half-dollars] 4, 913, 050 2,456,525 00 3, 544, 000 1,772, 000 00 H 9,661,050 2,415,262 50 4, 320, 000 1, 080, 000 00 2, 444, 000 611,000 00 16,425, 050 4,106,262 50 w 37,800 7, 560 00 1,140, 000 228, 000 00 140,000 28,000 00 1,317, 800 263,560 00 14,411, 050 1,441,105 00 13,500, 000 1, 350,000 00 8,480, 000 848, 000 00 36,391, 050 3, 639,105 00

29,303,000 6, GOO, 502 50 27,027, 000 8, 953, 000 00 13, 907, 000 3, 573, 000 00 70, 237, 000 19,126,502 50

t> # MINOR. &J 2, 654, 000 132, 700 00 2, 654, 000 132,700 00 Q 252,000 7,560 00 252,000 7,560 00 H i f» nan nnn ion nnn ha GO 12,009, 000 120,090 00 uuy, UUU IJcU, uyu Ull

14,915,000 260,350 00 14, 915, 000 260,350 00

44, 640,265 15,121,790 00 28,402, 600 35, 989, 500 00 14, 058,603 6, 454, 525 00 87,101,468 57, 565,815~00

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III.—Statement of bars manufactured at the mints and assay-offices during thefiscal year ended June 30, 1876.

Mints. Assay-offices. Description. Total. Philadelphia. San Francisco. Carson. Denver, New York. Boise.

GOLD.

Fine bars ,., ,...... ,„„ $37,520 01 $3, 482, 934 39 $3. 520,454 40 Unparted bars $7, 707,326 84 $743, 549 84 $63,356 54 8, 514,233 22

Total gold-. 37, 520 01 7, 707,326 84 743,549 84 3, 482, 934 39 63, 356 54 12, 034, 687 62

SILVER. W Fine bars , 86, 052 48 113,794 09 $904,453 65 5,109, 006 57 6,213,306 79 w Unparted bars 1,460,650 35 603,144 30 6, 014 90 1,670 75 2,071,480 30 Q Sterling bars 11, 050 68 11,050 68 H O Total silver 86, 052 48 1,574,444 44 1, 507, 597 95 6,014 90 5,120, 057 25 1, 670 75 8, 295, 837 77 &

Total gold and silver 123, 572 49 9,281, 771 28 1,507,597 95 749, 564 74 8, 602, 991 64 65, 027 29 20,330, 525 39 ^O

H w

Jzj H

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jy#—Gold and silver of domestic production (including United States bullion purchased) deposited at the mints and assay-offices during the fiscal yearOo ended June 30, 1876. C5

Mints. Assay-offices.

Locality. Total. Philadelphia. San Francisco. Carson. Denver. New York. Boise.

Alabama $530 68 $530 68 Alaska $6,826 95 6, 826 95 Arizona 310 08 304,251 57 $3, 951 96 308, 513 61 California 2, 765 15 9, 860,492 87 892, 275 98 10, 755, 534 00 Colorado 36,829 99 $702,207 34 1,158, 391 16 1, 897, 428 49 Dakota 1, 546 71 4, 066 62 5, 613 33 Georgia 23,082 85 18, 579 71 41, 662 56 Idaho 6,204 28 348,469 83 328, 502 01 4,038 00 737, 214 12 Kansas 107 03 107 03 Montana 14,494 69 "*27,8io"65 6,940 16 1,884,110 25 1,933, 355 75 Nebraska 1, 008 70 1, 008 70 Nevada 831,356 35 ' "39*098 "73 $3,239,956 05 202, 070 76 4,312, 481 89 New Hampshire .. - 2, 444 58 287 16 2, 731 74 New Mexico 77 60 14,764 67 62, 078 97 76, 921 24 North Carolina 89,523 35 1, 658 11 91, 181 46 Oregon 665 37 537,128 74 935 85 8,194 65 546, 924 6L 125 20 South Carolina 908 83 216 37 1, 435 08 Tennessee 435 08 631 70 Utah 672 52 5,144 15 12, 815 03 18, 491 29 Vermont 491 29 323 49 Virginia 2,988 44 335 05 3, 988 03 Washington 26, 988 03 26, 419 66 Wyoming 4, 365 63 1,162 82 11, 796 54 1," 094 67 18, 189 49 Refined gold 9,835,189 49 9, 835, 775 73 Parted from silver.. "ii,"452*87' "1, 324"322 86' 1,335, 192 80 Contained in silver. 1,881 64 507 49 803 67 5, 670, 251 58 Other sources 17, 251 58 17,

Total gold. 1,048, 069 87 26,661,445 47 3, 239, 956 05 736,216 20 5, 897,136 30 63, 036 32 37, 645, 860 21

Arizona 31,738 45 31, 738 45 California 330, 621 93 25, 633 44 356, 255 37 Colorado 2,868 49 5, 523 51 3,338, 866 29 3, 347, 258 29 Idaho 74 19 54,736 09 560 78 55, 371 06 Lake Superior . 6,539 90 185,749 44 192,289 34

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. -£S., 917 56 917 56 xviicingan 1,196 87 1,196 87 Montana 489 70 203,239 77 203, 729 47 Nevada 3,393, 084 94 5,752,884 93 4, 984,380 91 1, 696, 566 86 285 10 15, 827, 202 74 New Mexico 327,016 16 3U7, 016 16 Oregon 912 03 2120 933 23 Utah 7, 355 48 1, 740 36 220, 734 49 229, 830 33 Refined silver 2,637,378 87 637, 378 87 Parted from gold.. 9." 993*51 " 78," 958 30 88,951 81 Contained in gold . 100,184 10 I, 967 76 1, 303 89 111, 455 75 Other sources 9,071 12 425, 484 41 434, 555 53

Total silver. 3, 430, 674 20 9, 335, 681 17 4, 984, 380 91 15, 491 27 6, 077, 682 31 2,170 97 23, 846, 080 83 Total gold and silver . ~4, 478, 744 07 35, 997,126 64 8, 224, 336" ~751,707, 47 11, 974,818 61 ~65,207 ~29 61,491, 941~04

W H a H O W

Hw H

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318 REPORT ON THE FINANCES.

V.—Circular exhibiting the values in United States money of the pure gold or silvw representing, respectively, the monetary units and standard coins of foreign countries, in compliance with the act of March 3,1873.

[1876.—-Department No. 1. Secretary's Office.]

TREASURY DEPARTMENT, Washington, D. C., January 1, 1876. The first section of the act of March 3,1873, provides " that the value of foreign coin, as expressed in the money of account of the United States, shall he that of the pure metal of such coin of standard value," and that u the values of the standard coins in circulation of the various nations of the world shall he estimated annually by the Director of the Mint, and be proclaimed on the first day of January by the Secretary of the Treasury." The estimate of values contained in the following table has been made by the Director of the Mint, and is hereby proclaimed in compliance with the above-stated provisions of law:

Value in Country. Monetary unit. Standard. U.S. Standard coins. money.

Austria Florin Silver .45,3 Florin. Belgium Franc Gold and silver. . 19, 3 5,10, and 20 francs. Bolivia Dollar Gold and silver. .96,5 Eseudo, £ bolivar, and bolivar. Brazil Milreis, of 1,000 reis..., Gold .54,5 None. British possessions in North Dollar Gold $1. 00 America. Bogota Peso Gold .96,5 Central America Dollar Silver .91,8 Dollar. Chili Peso Gold .91,2 Condor, doubloon, and escudo. Denmark Crown Gold 10 and 20 crowns. Ecuador Dollar Silver .91,8 Dollar. Egypt Pound, of 100 piasters.. Gold 4. 97, 4 5, 10, 25, and 50 piasters. Prance Franc Gold and Jlver. .19,3 5, 10, and 20 francs. Gold 4. 86, 6£ £ sovereign and sov- Pound sterling Great Britain ereign. Gold and silver. 5, 10,20, 50, and 100 Greece Drachma drachmas. Gold .23,8 5, 10, and 20 marks. German Empire Mark Japan Yen Gold .99,7 1, 2, 5, 10, and 20 yen. India Rupee, of 16 annas Silver .43,6 Italy Lira Gold and silver. .19,3 5, 10, 20, 50, and 100 lire. Liberia Dollar Gold 1. 00 Dollar Peso or dollar, 5, 10, Mexico Silver 25, and 50 centavo. Florin .38,5 Florin; ten guldens, Netherlands Gold and silver. gold, ($4.01,9.) Crown .26,8 10 and 20 crowns. Norway Dollar Gold .91,8 Peru Milreis, of 1,000 reis... Silver 1. 08 2, 5, and 10 milreis. Portugal Rouble, of 100 kopecks Gold .73,4 and 1 rouble. Russia Dollar Silver 1. 00 Sandwich Islands Peseta, of 100 centimes Gold .19,3 5, 10, 20, 50, and 100 Spain Gold and silver. pesetas. Sweden Crown Gold .26,8 10 and 20 crowns. Switzerland Franc Gold and silver. .19,3 5, 10, and 20 francs. Tripoli Mahbub, of 20 piasters Silver .82,9 Tunis Piaster, of 16 caroubs. Silver .11,8 Turkey Piaster Gold .04,3 25, 50, 100, 250, and 500 piasters. United States of Colombia Peso Silver .91,8

B. H. BRISTOW, Secretary of the Treasury.

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REPORT OF THE DIRECTOR OF THE MINT.

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• REPORT

OF THE DIREGT0R QF THE MINT.

TREASURY DEPARTMENT, OFFICE DIRECTOR OF THE MINT, November 13, 1877. SIR: In compliance with section 345,Title YII,Eevised Statutes United' States, I have the honor to sabmit the following report ofthe operations^ of the mints and assay-offices for the fiscal year ended June 30, 1877. The amounts of gold and silver deposits and purchases, coins struck, and bars.manufactured, were as follows: \ DEPOSITS AND PURCHASES.

Gold deposits $60,382,502 76' Sih^er deposits and purchases 37,429, 329 93 Total amount received and operated upon. 97,811,832 69' Deducting redeposits—bars made and issued by one institution and deposited at another—the deposits were:

Gold $48,787,778 71. Silver 31,745,285 71 Total .^. 80,533,064 42:

COINAGE.

Pieces. Value. Gold 2,2^2,292 $44,078,199' Silver, (trade-dollars)-...--.' 9,162,900 9,162,900 Silver, (fractional coin).....-.-. 70,387,300 19,387,035 Minor coin 4,196,500 62,165 85,968,992 72,690,299' BARS. Fine gold $4,109,837 94 Unparted gold 3,053,653 15 $7,163,491 09' Fine silver 8,886,201 34 Standard 113,978 32 Sterling 53,359 88 Unparted silver 512,438 46 , __ 9,565,978 00 16,729,469 09'

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232 REPORT ON THE FINANCES. The distribution of the gold and silver bullion deposited and pur chased, including redeposits, was as follows:,

Silver deposits Total. Gold deposits. and purchases.

Mint at Pbiladelpbia $9, 555, 402 00 953, 943 80 $20, 509, 346 40 Mint at San Francisco 36, 424, 088 73 071, 633 22 51, 495, 721 95 Mint at Carson 1, 738, 298 28 653, 630 89 391, 929 17 Mint at Denver 565, 288 28 11,218 50 576, 506 78 Mint at New Orleans* , 5, 076 56 16,280 18 21, 356 74 Assay-office at New York. 11, 863,146 21 660, 268 14 523, 414 35 Assay-office at Boise 80, 040 54 / 170 95 80,211 49 A ssay-office at Helena t ... 140, 800 23 . 62,163 11 202, 963 34 Assay-office at Charlotte .. 10, 361 33 21 14 10,382 47 Total. 60, 382, 502 76 37, 429, 329 93 97, 811, 832 69

* Opened as an assay-office October 23, 1876. 1 Commenced operations January 15, 1877. The coinage at the different mints duriug the fiscal year was as fol lows:

Description. Pieces. Value.

Mint at Philadelpbia: 'Gold coinage 494, 020 19, 803, 564 00 Silver coinage, (trade-dollars);.. 899, 900 899. 900 00 Silver coiuage, (fractional coin) . 35, 245, 300 10, 545, 035 00 Minor coinage 4,196, 500 62,165 00

Total. 40, 835, 720 21, 310, 664 00

Mint at San Francisco: Gold coinage 1, 637, 000 32, 552, 500 00 Silver coinage, (trade-dollars)... 8, 042, 000 8, 042, 000 00 .Silver coinage, (Iractional coin) . 18, 850, 000 5, 507, 000 00

Total. 28, 529, 000 •46,101,500 00 Mint at Carson: Gold coinage 91, 272 1, 722,135 00 Silver coinage, (trade-dollars)... 221, 000 221, 000 00 "Silver coinage, (fractional coin) . 16, 292, 000 3, 335, 000 00

Total 16, 604, 272 5, 278,135 00

Total coinage. 85, 968, 992 72, 690, 299 00

The bars made and issued at the mints and assay-offices were as fol lows:.

Gold. Silver. Total. Fine. Unparted. Fine. Standard. Sterling. Unparted.

Mint at Philadel phia $04, 265 85 $74, 441 96 $11,957 11 $150, 664 94 Mint at San Fran cisco 72, 705 .13 $2, 249, 668 50 387, 885 92 $426, 917 06 3 137,176 61 Mint/ at Carson 659, 609 28 659 609 28 Miiit at Denver 567, 703 99 6, 886 02 574, 592 01 Mint at New Or • leans 5, 076 56 16, 280 18 21, 356 74 Assay-office atNeAV York 3, 972, 866 96 7, 764,264 18 102, 021 19 $53, 359 8S 11, 892, 512 21 Assay-officeatBoise 80, 040 54 170 95 80, 211 49 Assay-office at Hel ena 140, 800 23 62,163 11 202, 963 34 Assay-office at Charlotte 10, 361 33 21 14 10 382 47

Total 4,109, 837 94 3, 053, 653 15 8, 886, 201 34 113, 978 32 53, 359 88 512, 438 46 16, 729, 469 09

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DIRECTOR OF THE MINT. 233

Compared with the previous year, there was an increase of $2,902,232.26 in the amount of gold operated upon; $8,913,627.14 in the amount of silver operated upon; $5,899,236.50 in gold coinage ; $3,030,850 in trade- dollar, and $6,392,582.50 in fractional-silver coinage. When it is considered that a given value of silver in our fractional coins is nearly fifteen times the weight of the same value in gold coins, and in trade-dollars more than sixteen times the weight of gold, and that the sii ver coins comprised 79^550,200 pieces, amounting to'$28,549,935 in nominal value, the magnitude of the work executed at the mints will at once be understood. The following table exhibits in detail the earnings,, gains, and expend itures of the mint establishment daring the fiscal year :

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Statement of earnings and expenditures of the minis and assay-offices of ihe TJnited States for the fiscal year ended June SO, 1877. IN9

Mints. Assay-offices.

6 o 03 d « o Total. p 5 ' cf > "o o 1 .2 i o 1 1 M .a 1 O EARNINGS. Coinage cha7'

Total 1, 698, 049 26 1, 223, 416 16 522, 505 45 1,485 78 103, 032 37 332 35 105 00 138 50 552 89 3, 549, 617 78 l>

EXPENDITURES. o Ul vSalaries 35, 762 33 24, 893 23 23, 423 80 8, 255 98 33, 236 31 2, 366 87 1,104 50 3. 834 18 4,001 36 136, 878 56 W^a^-es of workmen 302, 899 34 274, 9.59 65 80, 214 39 9, 999 40 29, 200 05 2. 999 60 1, 306 97 701,579 40 Contingent expenses 81, 668 28 74, 999 92 34, 998 03 2, 965 84 13, 889 83 564 04 500 00 4, 999 28 4, 607 36 219,192 58 4, 349 70 168, 371 60 27.198 33 61,861 77 261,781 40 Expenses distributing fractional silver coin 43, 214 02 77, 296 37 46, 646 97 167,157 36 Expenses distributing min<-jr coins 5, 003 72 5, 003 72 Expenses manufacture fractional silver coin 21, 480 36 1,31, 910 53 36, 999 40 190, 390 29 Wastage of operative officers 13, 111 22 15, 094 12 8, 936 65 37,141 99 lioss on sale of sweens 10, 393 72 9,188 75 2. 602 37 11, 613 48 33, 798 32

Total . ..^ 517,882 69 776, 714 17 261, 019 94 21, 221 22 149. 801 44 2. 930 91 1, 604 50 11, 833 06 9, 915 69 1,752,923 62

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DIRECTOR OF THE MINT. 235

COINAGE EXECUTED FOR THE GOYERNMENT OF VENEZUELA. Early in the last fiscal year the following coins, composed of an alloy^ of copper, nickel, and zinc, were struck at the mint in Philadelphia: for the Government: of Venezuela, viz: 10,000,000 pieces of ^' un centavo," of the nominal value of $100,000.. 2,000,000 pieces of '^ dos y medio centavos," of the nominal value of $50,000. The planchets for these coins were prepared by private enter prise at the expense of the agent of the above-named government, and the coins were simply stamped atthe mint, the expense of'which oper ation was paid to the mint,-and afterward into the Treasury of the United States. The stamping of these pieces did not in any way inter fere with the regular coinage operations,

ASSAY OF FOREIGN COINS.

During the year various goldandsilver foreign coins have been assayed at the mints of Philadelphia and San Francisco and assay-office at New York. The results furnished exhibit the actual weight and fineness of the several coins, as determined by our trials, and not, the standard weight and fineness prescribed by the laws of the respective countries. Samples ofthe annual pyx coins ofthe imperial mint at Osaka were assayed at the mint in Philadelphia by request of the Japanese minister, and the results confirmed the assays made at the Japan mint, and also showed the closeness to which the coins of that empire conform to the legal standard for fineness.

INTRODUCTION OF AUTOMATIC WEIGHING-MACHINES. Gold, coins and trade-dollars are the only pieces singly adjusted and weighed by hand, dependence being placed upon the draw-bench to insure a uniformity in the thickness of the rolled strips from which the blanks for the fractional coins are cut. The legal deviation from standard weight on these fractioual coins is three times as great as that on the gold coin, the evident intention of the law being that the adjustment should be made by machinery, aud the delay and expense attending adjustment of single pieces by hand avoided. Experience has demonstrated that this method cannot always be relied upon to secure a uniform adjustment of these pieces within the limit of deviation allowed by law. Atthe first session ofthe Forty-fourth Oongress an appropriation was made for procuring automatic weighing and assorting machines, and two were accordingly ordered from Seyss & Oo., Atzgersdorf, near Vienna, for the use of the mint at Philadelphia, and one manufactured by Napier & Son, of London, for the mint at San Francisco. The machines imported from Austria have been in constant use and with very satisfactory results. They have been employed mainly on the half dollar planchets, and their combined capacity is about one hundred and sixty blanks per minute. Those outside of the legal toler ance are invariably detected and automatically separated from the others. ^ Owing to delay in the receipt of the Napier machine, it has only lately been erected at the mint at San Francisco, and has been partially tested upon the small gold coins. The rate of adjustment is about 40 blanks per minute, but the results are equally as satisfactory as those from the Seyss machine.

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236 REPORT ON THE FINANCES.

The use of these machines has demonstrated the fact that without the employment of some such safeguard, a small percentage of fractional coins, slightly beyond the legal tolerance for weight, may escape obser^ vation and pass into circulation. An appropriatiou should be procured to supply the mints with a sufficient uumber bf these machines to test all the blanks for fractional coins. DENVER MINT. The building occupied as an assay-oiSce in Denver, Oolo., was orignally purchased from private parties and enlarged by the government. From settling of the foundations it has become dilapidated to an extent render ing it unsafe and unsuitable to occupy much longer for melting and as saying purposes. The propriety of procuring an appropriation sufficient to construct a new assay-office at Denver, after the plan of the one recently constructed at Helena, Mont., is presented for your considera tion.

ASSAY OFFICE AT HELENA AND MINT AT NEW ORLEANS. Soon after the close of the fiscal year ended June 30, 1876, the build ing erected for an assay-office at Helena, Mont., was completed, and it was formally opened for the reception of deposits for melt and assay October 23, 18X6, since when the amountof business transacted has steadily been on the increase. An appropriation having been made forthe purpose of reopening the mint at New Oiieans as an assay-office, the necessary repairs and prep arations were made and operations commenced January 15, 1877. The number and amount of deposits received have been inconsiderable, be ing principally contined to old plate and jewelry. The square of ground upon which the mint building was erected was, by a resolution of the city council of New Orleans, approved May 11,1835, ceded to the United States for the "x^xpress and only purpose of erect ing thereon a branch of the Mint of the United States, together with the necessary appendages;" and that "should it hereafter be deemed necessaiy by the Government of the United States to remove the mint contemplated to be established, as aforesaid, or to cease to occupy it for such purposes, then the said act to be null and void." Measures have been taken having for their object the reversion of this square of ground to the city of New Orleans, and it is understood have been held iu abeyance ou\j by a prospect of the mint being reopened as a coinage mint. In the event of a silver dollar being authorized by Con gress to be coined, and additional coining facilities be required, the facts in connection with this subject should be considered.

WITHDRAWAL OF CERTAIN THREE-CENT SILVER COINS FROM CIR CULATION RECOMMENDED.

There are in circulation some of the three-cent silver pieces coined prior to March 3, 1853, which aie ou y seven hundied and fifty thou sandths fine. These coins were issued under the provisions of the act of March 3, 1851, for postal-currency purposes, and which fixed their fineness as above stated. The standard for this denomination was in creased to nine hundred thousandths fine by the act of March 3, 1853. The standard for the gold and silver coins being nine hundred thou sandths, those of the fineness of seven hundred and fifty thousandths

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DIRECTOR OF THE MINT. 2.37

should be called in, especially as they are much worn. The propriety of procuring legislation for the withdrawal of these coins from circula tion is submitted for your consideration. SILVER PURCHASES. The purchases of silver bullion/for the fractional coinage from Jan uary, 1875 to June 30,1877, amounted to 25,619,212.23 fine ounces, at a cost of $30,456,599.35, or an average cost per ounce fine of 118^^^^ cents. The average London rate during that period was 54.77083 pence per ounce, British standard, equivalent to $1.20,06 per ounce fine. o From July 1 to October 31, 1877, the government purchased 3,088,- 422.34 fine ounces, at a cost of $3,662,373.91, or an average cost per ounce fine of 118 j^ cents. The average London rate during that period was 54f pence, or 119^^^ cents per ounce fine. The total purchases of silver bullion made by the government froni January, 1875, to October 31, 1877,i nclusive, were 28,707,634.57 fine ounces, at a total cost of $34,118,973.26, or an average cost of 118j^ cents per ounce fiue. During that period the London rate averaged 54.7656 pence, or $1.20,05 per ounce fine. The purchases were therefore ob tained by the government at Ij^^^ cents lower than the equivalent of the average London rate. The total bullion purchased, 28,707,634.57 fine, or 31,897,371.73 stand ard ounces, costing $34,118,973.26, will produce, at the coining rate of $1,24.4168 per standard ounce, fractional silver coins to the amount of $39,685,688, and give a seigniorage or gain of $5,566,714.74. In procuring this silver, the rule as to price has always been to pur chase as much below the equivalent of the London rate as possible, and not above it if it could be avoided. The largest purchases have been made either after a heavy decline in price or on a declining market. After oui* heavy purchases in July, 1876, at the equivalents of 47, 47J, and 48 pence, the price advanced within thirty days to 53f pence; and again in October and Noveinber of the same year, when large purchases were made at about 53J, o3f, and 54J pence, the price soon after rapidly advanced, reaching by Decem ber 14, 58J pence. In only a single instance did the price decline after a considerable purchase. That was toward the close of February, 1877, when purchases were made at about oQ pence. The price afterward gradually declined to 53^ pence. Purchases were continued as the market declined and an average price of about 54 pence secured. The decline in this instance was caused by free sales by the German Gov ernment and a simultaneous intermission of the demand for export to China and the Indies, and of which we had no information. It should be noted that for some time in the autumn of the year 1876 the demand at San Francisco for export to China was so great as to carry the price of silver in that city nearly two cents an ounce above the equivalent of the London rate, and rendered necessary a resort indirectly to the Lon don market tor a moderate supply to meet our coinage requirements. An examination made by the Treasury commission in San Francisco in relation to the purchases of silver for the fractional coinage brought, out some valuable information in relation to the exports of silver to India and China, the effect upon the price in that city as compared with Lon don and New York, andthe cross-exchanges connected therewith. This information is contained in the appendix. REFINING AND PARTING OF BULLION. The act making appropriations for the legislative, executive, and judi-

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238 , ^ REPORT ON THE FINANCES.

cial expenses of the government for^ the year ended June 30, 1877, and for other purposes, contained the following: '^And refining and parting of bullion shall be carried on.at the mints in the United States and the assay-office, New York; and it shall be lawful to apply the moneys arising from charges collected from deposit ors for these operations, pursuant to law, to the defraying in full of the expenses thereof, including labor, materials, and wastage; but no part of moneys otherwise appropriated for the support of the mints and assay-office at New York shall be used to defray the expenses of refining and parting bullion." This law was re-enacted in the.general appropriation act for the fiscal year ending June 30, 1878. Under its provisions the expenses of part ing and refining at the different mints and assay-office. New York, have to be defrayed out of the funds arising from the charges made, and de ducted from deposits requiring these operations, which charges are required to be fixed from time to time by the Director ot the Mint, with the approval of the Secretary of the Treasury, so as to equal, but not exceed, in their judgment, the cost of these operations respectively, in cluding wastage, materials, and labor. The money arising from this source is paid into the Treasury of the United States to the credit of the refining account, and afterward drawn out by requisitions, the same as the regular appropriations, and expended under the laws and regulations governing the mints. The result of the first year's operations has been to show that the schedule of. charges in force at the time the new law took effect have been sufficient to defray the expenses of the several refineries, including necessary repairs. This result has been due, however, in some degree to the government having been able to control, to some extent, the dis tribution of what is usually termed dor6 bullion, i. e., silver bullion con taining gold in partable quantity, through its purchases, from time to time, for the fractional silver coinage. Without the necessary supply of this class of bullion there will be difficulty in future in executing this law at the San Francisco and Carson mints, for the'reason that gold deposits containing small percentages of silver cannot be parted at the present rate of charges unless dor6 sil ver, containing from 5 to 45 per cent, of gold, be added, sufficient to give a mixture suitable for economical parting. Without this the charge for parting gold bullion would have to be increased, which would practi cally exclude it from the mint. The experience of the last few months shows that when there is but a limited demand for trade-dollars for export, and the government is not buying dor6 bullion, very small quantities of the latter are deposited at the mints; meanwhile, it becomes necessary to either reduce the working force employed in the refineries or suspend the pay of the workmen. Should this continue for any length of time, it may be diffi cult to retain skilled workmen. The practicability of executing the law in future will depend very much-upon the character of the legislation which may be enacted in re lation to silver coinage.

EARNINGS, EXPENSES, AND OPERATIONS OF THE MINTS, FROM JULY, 1849, TO JUNE 30, 1877. For comparison as to the cost of coinage in different years and for other useful purposes in connection with the various operations and processes employed in the coinage, statements have been prepared

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DIRECTOR OF THE MINT. « '239 .'Under my instructions by Mr. M. V. Davis, of this office, exhibiting in detail and under appropriate heads the cost, including wastage and loss on sale of sweeps, of conducting the mint at Philadelphia, from July 1, 1849, the year iu which gold deposits of any magnitude from the then newly- discovered mines of California commenced to be made, and the mints at San Francisco and Carson, and assay-office. New York, from the date of their organization to the dose of the last fiscal year; also statements for the same period, showing the amounts realized from charges, seign iorage, gain on minor coinage, and income from every other source. These statements are believed to present substantially a correct his tory of the extensive bullion and coinage operations of the mints in Philadelphia, San Francisco, an d^ Carson, and assayroffice, NewYork, for the x)eriods referred to, compared with which the coinage previously executed was quite insignificant. The most important features shown by the statistics are- First. That, placing the earnings and seigniorage agaiust the total ex penses, the metallic-money system has been nearly self-sustaining. Second. That the total wastage incurred has been only 16 per centum of the legal allowance. Third. A marked reduction in the cost of coinage under the coinage act of 1873 as compared with several precediug years. The total coinage executed at the three coinage mints from the fiscal year ended Jiihe^O, 1850, to the fiscal year ended June 30, 1877, has been: Gold $861,965,700 50 SUver 113,181,141 50 Minor ...:.." 11,620,638 81 Totalcoinage „ 986,767,480 81 Fine gold bars manufactured, stamped, and issued 32, 808, 424 33 Fine silver bars manufactured, stamped, and issued 7, 030,562 90 Total bars 39,838,987 23 •Total expenditures, (including assay-office at NewYork) ». 25,177,251 37 Total income... 24,754,589 09 Excess of expenditures 422,662 28 Total wastage, included in above expenditures.. 762,453 00 Loss on sale of-sweeps, included in above expenditures 215,526 75 The loss on sale of sweeps is the difference between their assay value, with which the operative officers returning them are credited, and the amount realized from their sale to private smelters, previous to which disposition they are subjected to such processes for the recovery of bul lion as are practicable to use in the mints, and in their sale care is taken to insure competition.. IMPROVED DESIGN OF COINAGE. The interesting report of Mr. Freemantle, deputy master of the royal mint, for the calendar year 1876, calls attention to the fact that designs of modern coins are in almost all respects, decidedly inferior to those of •coinages in former times, and that in no respect has this inferiority been more apparent than in the manner in which the important question of portraiture has from time to time been treated. There is much force in Mr. Freemantle's remarks upon this subject, and it is proper to add .that a close examination of ;SO.me foreign gold coins of comparatively

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240 '" REPORT ON THE FINANCES. recent issue shows the principal device to have been brought out in suck high relief as to leave it unprotected by the outer rim which is intended to prevent the devices from coming in contact when piled face to face, as the coins are liable to be when in circulation, and also to prevent the coins from rocking when piled together. These defects cause a greater loss by abrasion than would otherwise be the case. In this connection it is proper to observe that for nearly a year past devices and new dies for the improvement of our coinage have been in IDreparation by skilled artists. Specimen coins from some of these dies will at an early day be submitted for your inspection, and should a silver dollar for circulation be authorized by Congress, the designs for the same can be selected from those above referred to, and considerable time saved in commencing its coinage. / All our coins are mechanically well executed, but the devices can no doubt be improved. Such improvement is important, for the reason, that the finer the engraving and finish of the devices and inscriptions are, the more difficult the coins are to counterfeit. No changes in de vices will be recoramended, however, until specimen coins showing a de cided superiority over those now iu use shall have been produced, but everything will be in readiness to make any changes which after due de liberation may be decided upon as soon as Congress finally acts upon the various coinage propositions now before it. The excellent finish of the trade-dollar has attracted, attention and been commended in other countries. So far as is known, it has not been successfully counterfeited either in this country or China.

THE TRADE-DOLLAR. The trade-dollar continues to grow in favor in China, and the deraand at San Francisco for the past fiscal year for export to that empire aver aged over $687,000 per month, and in some months more than, twice that amount was exported. On account of its superior mintage, it is difficult to counterfeit, and its close conformity to standard fineness and weight gives it some advan tages over its principal competitor, the Mexican dollar, which it is likely to supplant to a still greater extent, notwithstanding the prestige the latter has long enjoyed as the successor of the Spanish dollar, and also some favoritism in its behalf by local customs authorities at certain Chinese ports. On the first of October last there were several hundred thousand Mexican dollars held by bankers in San Francisco. One of these bank ers telegraphed to London asking the price at which Mexican dollars could be sold in that city, and received an answer that there was no demand for that coin for export, and it was being used for melting pur poses. At the same time the Chinese residents in San Francisco were paying for trade-dollars 2 per cent, above the price of Mexican dollars in London, both coins being very nearly equal in intrinsic value. This shows a decided preference for the trade-dollar. The testimony of intelligent bankers, thoroughly familiar with the Chinese exchanges, (recently given before the United States Treasury commission in San Francisco,) shows couclusively that the coinage of trade-dollars has been attended with decided advantages both as re spects our commercial and mining interests, and there can be no doubt but that it should be continued on a scale equal to the requirements for export to China. It may be added here, that the Japanese Government, desiring to reap the benefits of a coinage manufactured exclusively for

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DIRECTOR OF THE MINT. 241 trade purposes, have followed the example of the United States, and are now coining a trade-dollar of the same weight and fineness as our own, with the evident intention of exporting it to China, where it has been made a legal tender at one or two ports. Its general appearance is similar to the "yen," substituting, however, tlie English inscription *'420 trade-dollar 900," instead of "416 one yen 900." The trade-dollar has of late entered to some extent into domestic cir- <3ulation, and this for the reason that, from time to time since United States notes have appreciated nearly to par with gold, holders of silver bul Hon have been able to have tlie same manufactured into these coins, and exchange them at par for United States notes with a small profit. This fact, on becoming known, was regarded as indicating that the trade-dollar coiuage was, for the time being (October last) in excess of the export demand, and led to the issuing of au order by the Secretary of the Treasury to temporarily intermit the receipt of deposits at the mints for these coins. There are weighty reasons why the trade-dollar should not be coined for domestic circulation, but it is hardly worth while to state them, since the law provides very clearly that they shall be coined only to raeet the export demand, and leaves no discretion as to their coinage for any other purpose.

THE PRESENT AVERAGE PRODUCTION OF GC;LD AKD SILVER FROM THE MINES OF THE UNITED STATES. I have availed myself of every facility to procure full information in relation to the product of the gold and silver mines of the United States, for the purpose of estimating approximately the present aunual yield, with the following results based upon the production for the first six months of the year and the average monthly out-turn since, so far as it was possible to ascertain the same:

state or Territory.. Gold. Silver. Total.

California $15, 000, 000 $\, ono, 000 $10,000, oro Nevada lb, 000, 000 26, 000, 000 44, 000, ooo Montana . 3. 200, 000 750, 000 3, 9.50, 000 Idaho - 1,500,000 250, 000 1 750 000 Utah . . 350. 000 .5. 07.5, 000 5, 425, 000 Colorado ^ 3, 000, 000 4,500,0(10 7 500 000 Arizona : ' 300, 000 500, 000 800. 000 New Mexi co 175, 000 500, 000 675 000 Oi'effou . 1, 000, 000 100, 000 ] 100 000 Washington 300. 000 50, 000 350. 000 Dakota 2, 000, 000 2, 000, 000 Lake Superior 200, 000 200, 000 Vii'rjin ia 50, 000 50 000 100, 000 100, 000 Georgia '100,000 100 000 Other sonrces 25, 000 25, 000 50, 000

Total ... 45,100, 000 38, 950, 000 84, 0.5*0, 000

It is impossible to state with any degree of accuracy how long this large rate of production will be maintained. A gradual increase may be expected in Montana and Arizona, aud there is nothing to indicate a decrease in any bullion-producing State or Territory, except in the State of Nevada, and that depends upon contingencies which to. a great extent must be a matter of conjecture only. Several mines in different localities in that State have within the last year or two been opened and are producing considerable bullion, but whether they, and Others which in the mean time may be discovered, will yield sufficient 16 F

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242 REPORT ON THE FINANCES. to make up the decrease, which, unless other ore-bodies on the Com-, stock shall be found, must sooner or later take place, is somewhat doubtful. The superintendent of the mint at San Francisco has furnished, at my request, a statement, embraced in the appendix, of the yield of about thirty different mines, the bullion from which finds a market in Sau Francisco. The yield of bullion from the two mines which embrace the great ore- chimney discovered in 1874 in the Comstock lode has, according to the official statement ofthe managers, amounted, up to October 31, 1877, to $78,852,918.48, of which $36,736,347.91 was gold. These mines are now producing at the rate of nearly three million dollars per month.

MONEY STATISTICS. An estimate of the stock of gold and silver coin and bullion in the United States June 30, 1876, based upon the estimate of the previous year, domestic production, and difference between importation and ex portation during the fiscal year ended that date, fixed the amount at $181,678,000, of which $30,113,000 were silver. Taking the above amount as a basis for au estimate of the stock in this couutry—June 30, 1877, we have: Amount of gold coin and bullion on band June30,1876... $151,565,000 Add tbe product of tbe mines duiing tbe past fiscal year, about 44, 000, 000 Importations 26, 245, 604 Total 2.21,810,604 Deciuct exportations $26,590,374 And probable amount used in tbe arts and manufactures... 2,500, 000 29,090,374 Leaves a net balance of 192,720,230 aS the amount of gold coin and bullion in the country June 30, 1877. Tbe estimated amount of silver coin and bullion June 30, 1876, was $30,113, 000 Adding tbe production of tbe past fiscal year 38, 000, 000 Importations - 14, 486,991 Gives 82,599,991 Deduct exportations * $29,464,363 Aud probable amount used in tbe arts and manufactures... 3, 000, 000 32,464,363 Leaves a net balance of 50,135, 628 as the stock of silver coin and bullion in the country Juiie 30, 1877, of a total of gold and silver of $242,855,858, and an increase for the year of $61,177,858. During tbe quarter of tbe current fiscal year ended September 30, 1877, tbe addition to tbe amount of gold coin and bullion is estimated at.. $14,738,865 Silver coin and bullion 3, 357, 028 Total 18,095,893 Adding tbese items to tbe amouuts estimated to bave been in tbe coun try June 30, 1877, gives as tbe total amount of gold coin and bullion October 31, 1877 J. $207,459,095 Total silver coin and bullion October 31,1877 53, 492, 656 Total coin and bullion 260,951,751

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DIRECTOR OF THE MINT. 243 An estimate of the amount of coin in the country is always a matter of uncertainty. One of the obstacles iu the way is the impossibility of determining with auy degree of accuracy the amount of gold and silver consumed in arts aud manufactures, especially as both coin and bars are used for that purpose. It is also quite as difficult to ascertain the amount of coin in private.hands. At the time the issue of silver coins in redemption of fractional cur rency commenced it was supposed thatthe amount of silver coins iu this country was very inconsiderable, but as soon as it became apparent that the new issue would remain permanently in circulation silver coins of the old standard made their appearance after being hoarded for many years. This circumstance tends to show that the amount of coins in private hands is larger than is generally estimated,. I think it is not far out of the way to state the amount of gold coin and bullion now iu this country at about $185,000,000, and silver coin and bullion at about $50,000,000.

CHANGES IN THE RELATIVE VALUE OF GOLD AND SILVER. In my reports for the fiscal years 1872, 1873, and 1874, the causes operating to produce an important change in the relative value of gold and silver were fully stated and discussed. Chief among them was the change from the silver to the gold standard by the Grerman Empire, the limitation placed upon the coinage of legal-tender silver money by the countries of the double standard, diminished demand for export to the Indies, and increased production of silver from the mines of the United States. Attention was also called to the opportunity which the change in relative value would afford for substituting on advantageous terms, and in advance of specie resumption, fractional silver coins for the fractional notes then in circulation, and the practicability of such a measure demonstrated. The substitution has since been substantially accomplished on terms not only as favorable as were expected, but more so than could be prob ably done hereafter. Since the change in the relative value of the metals occurred and assumed a somewhat stable character, the causes which produced the same have been tbe subject of careful, intelligent, and exhaustive exam ination and report by two commissions—one in Great Britain, appointed by Parliament, and the^ otber in the United States, constituted by an act of Congress. Both of these commissions substantially agreed in assigning the change in the German money system and limitation placed on the legal-tender silver coinage in France and some other countries of the double standard as the principal causes of the change in relative value referred to. The British commission regarded the change as due to depreciation of silver, while the majority report of the American commission appears to hold that the change is due as much to an appreciation of gold as it is to a depreciation of silver, as the following extract will show : Cbanges in tbe relative value of tbe. two metals are entirely different from cbauges . in tbeir absolute value, or, in otber words, tbeir value as compared witb all other tbings. Thus, one metal may bave fallen greatly, as compared witb tbe otber, and at tbe same time not ojily may not bave lost, but may even bave increased in purcbasing power. In describing a divergence in tbe relative value of tbe metals, without reference to tbe purcbasing power of either, it is as correct to say tbat one lias risen in value as to s«.y that the otber has fallen. In fact, looking only to tbe relation of the metals, botb tbings bave occurred; one bas fallen and one has risen, eacb relatively to tbe otber to the full extent of tbe divergence. In order to ascertain wlietber silver j^as fallen or gold risen since 1873, not relatively to eacb otber but relatively to all

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244 REPORT ON THE FINANCES. ^

other tbings, a comparison must be made betweeen general prices in gold and silver respectively, tben and now. Sucb a comparison would show that the purchasing power of gold has increased since then in all countries, and thatthe purcbasing power of silver has decreased in none. The concluding paragraph is an expression of opinion that the pur chasing power of gold has increased since 1873 in all countries, and that the purchasing power of silver has decreased in none, and not a fact, ascertained and established according to t\ie rule that the commissiou lays down for the correct determination of the question. To determine with any degree of accuracy such a question according to the rule pre scribed by the commission has always been'one of the most difficult within the range of political economy, and much more so iu recent years, on acconnt of changes iu money systems of unusual importance, which largely influence the supply and demand in respect to the precious met als for coinage. The operation that, according to the concurrent tes timony of all intelligent investigators, has had more eff'ect in producing the change in relative value ofthe precious metals than all others, has been the gradual converting of the silver coins of Germany into com mercial bullion bars, and the transfer of these bars principally to the oriental nations, aud replacing the silver coins thus withdrawn by gold drawn from other countries and from the annual production of the mines of the world. A circumstance which would appear to prove beyond reasonable doubt that the change in lelative value of gold and silver is due chiefly to a depreciation or fall in the value of silver, is that within the last twenty- two months the export of silver tothe eastern nations from Londou and San Francisco has amounted to about $143,500,000, and that under this unprecedented demand, including the consumption during thesame period of about $28,300,000 for the fractional currency in the United States, making together over $171,800,000,* the average price of that metal has not risen above 54 pence against 60/^ pence, the average of 1872. If silver had not really depreciated, this demand, which probably ex ceeded the entire gold coinage of the world for the same period, would have carried the price to or abovethe point at which it ruled before the German money system was changed. In the face of these facts, the assumption that gold has appreciated in value does not appear to be well founded. If it be answered that the known ability of Germany to freely supply the niarket with silver has kept down the value of that metal, it only shows the more conclusively that silver has depreciated, and that the chief cause of the depreciatiou has been, as before stated, the change in the German money system. The exti'aordinary demand for silver for export to eastern nations, referred to above, which commenced in August, 1876, and continued . witb but slight intermission until Noveinber of this year, has generally '* Exports during calendar year 1876: From Southampton $45,846, 240 • From San Francisco ...." 9,597,906 Exports during ten montbs, October 31, 1877 : From Soutbampton , 66, 726, 604 From Venice I, .500, 829 From Marseilles 3,541,765 From San Francisco 16, 326, 950 Consumption in theUnited States for fractional coinage 28, 317,662 Total consumption in twenty-two raonths, exclusive of European coinages and amounts used in arts and manufactures iu America and Europe 171,857, 956

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: DIRECTOR OF THE MINT. 245 been considered as having been caused by the famine prevailing in cer tain districts in India, which had to be supplied with food procured from Siam and paid for with silver, but the depreciation of silver, which reached, the lowest point on record iu July, 1876, has been a more potent, cause. . That metal being the sole money standard of the great populations of Asia, and having depreciated in value, an addition to the stock ordi narily performing the functions of money, corresponding with the per centage of depreciation, has been necessary, aud this in accordance with a general law governing depreciated money, which requires an increase in volume proportionate to decrease in purchasing power. The indications at present are that the Oriental demand has already been met,,and if so, the exports of silver to the East may^ and probably will, be comparatively light for some years to come. Eeliable statistics from . 1833 to the present time show that unusually heavy demands for silver, from the East, have rarely contiuued more than two consecutive years. But however this may prove, it is certain that the Asiatic demand for silver in the future will have an important influence in deranging double, standards. If it be light, silver will depreciate further, and become the actual money standard wherever the law has fixed a double or alternate standard, and per contra, if, after the German stock should have been exhausted, such a demand as that of the last twenty-two months should at any time arise, gold would become the actual stand-, ard. A double standard, beingsubject to important variations fromcausesof this character, cannot be regarded as having advantages over a single standard. In connection with this subject it may be stated that in 1864 there was an extraordinary demand for silver for export to India, under which the price rose from about 60| pence to 62J pence, and caused the ex- I)ortation duriug that year, from France alone, of about $65,000,000, and that afterward the exports to the East steadily declined, until they fell in 1868 to about $8,000,000, and afterward did not reach as high as $35,000,000 until 1876. It should here be added that if the United States restore the double standard on the ratio or relative value of 1 to 15.98 and an extraordi nary demand for export to India should at some future time arise, the legal-tender silver coins would be drawn upon to meet the same, while the coins of other countries representing silver in the ratio of 1 to 15J, would remain undisturbed, at least until our stock should first be ex hausted. In closing their mints against silver, France, Belgium, and the Neth erlands clearly showed a determination not to depart from the gold valuation, nor allow their gold coins to be exported in exchange for silver. The average price of silver for the last few months may be fairly stated at 54 pence per ounce 925 thousandths fine, which makes au ounce of pure gold equal in value to 17j%% ounces of pure silver. The ratio or relative valuation in the legal teuder coins of the countries last referred to being 1 to 15J, silver must advance 12j5^ per cent, in gold value to reach tbe same. The ratio proposed in the United States is 1 to 15j-Yo^, which would value silver 9^% per cent, above the aver age market rate, (54 pence.) If the change in the relative value of gold and silver is in fact due to a fall in the value or purchasing power of silver, as appears to be pretty clearly established, any proposition to make it an unlimited legal teu der at its former valuation, or say 8 to 10 per cent, above its present gold value, involves most important considerations iu respect to uuex-

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246 REPORT ON THE FINANCES.

pired money obligations which cannot be too carefully considered before final action shall be taken. These facts are presented for your consideration in view of the prop osition now pending to're-establish the double standard in this country, the demand for which appears to have arisen chiefly from a belief pretty widely entertained in some sections of this country that gold has within the last few years appreciated in value sufficient to cause injury to debt ors, and which does not appear to be sustained by any facts or evidence that have yet been presented.

MONEY STANDARD AND SILVER COINAGE. In ray report for the fiscal year ended June 30,1876, the metallic-money standard of the United States and various propositions for changing the same were carefully reviewed. The adherence to gold as the standard of value and raoney of large payments was recommended, and that the free use of silver coin in small payments should be encouraged and pro vided for; also the furnishing of all trade silver coins that might be required for export. Upon a careful review I can see no sufficient rea sons for changing my views upon the subject, except that there should be a silver dollar authorized by law as an auxiliary to the money of large payments, which should be coined and issued exclusively on government account, for the reason that the government as representing the people, and not individuals, should realize the gain, which would arise from its coinage, until the price of silver advances tp 59 pence, in consequence of its having ahigher nominal or legal-tender value than its value as bul lion ; also in order to insure the general distribution of the new coin to all X)arts of the country, and which can only be accomplished by the gov ernment paying the expenses of transportation out ofthe gain or seign iorage. Tbe iraportance of this last point will be better understood when itis considered that raore than half of our minting capacity is in the States on ^be Pacitic coast, and where but a small araouut of silver dollars will be required for circulation. Tbe silver dollars which may be coined at these mints will have to be transported iu bulk to the States eastof the Rocky Mountains. The legal tender of the silver dollar, it is suggested, should be liraited to an amount" sufficient to prevent it from expelling gold from the coun try. For tbe purpose of restricting the issue of silver coins to the require raents of the public for sucb moiiey, as well as to keep them at par with the full legal-tender money, they should be issued only in excbange for United States notes and gold coin. If such a restriction be placed ou the issue, no limitation as to the amount to be coined will be necessary. These coins should also by law be made receivable by the Uuited States for all dues except duties on imports. Witb our present minting capacity we could, with a full working force, coin silver-dollar pieces at the rate of $2,000,000 per montb, and at the sarae time manufacture the necessary gold, trade, and fractional silver coinage. The issue of silver dollars for circulation to the ainount above stated, ($2,000,000 per month,) would uo doubt prove of much benefit to the public, and aid in stimulating the revival of business. It would also serve to steady the value of silver aud protect our important silver-mining interests. ' Under sucb a system the required coinage could probably be executed witb tbe present minting capacity, and with but a small increase of apiu'opriations; but if a double standard should be established, addi-

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DIRECTOR OF THE MINT. 247 tional vault-room, both for the mints and the Treasury offices, will become necessary and should be promptly provided. A given value in silver coin or bullion would, under the proposed ratio, be nearly sixteen times tbe weight of the same value in gold, and about twenty-seven times its bulk. The cost of coining a silver dollar will be about, the same as that of a twenty, ten, or five dollar gold piece, aud the execution of a large silver coinage will involve about four times the expense of a corresponding value in gold coins of different denominations. Under existing law^s, bullion deposited at the assay office in the city of New Yoi?k, is paid for there and traifisferred to the mint at Pbiladel phia, and the resulting coins returned to the assay office, the transfer each way being at the expense of tbe government. The foregoing suggestions and facts in relation to the coinage of silver are submitted for your consideration in order that, should tbe coinage for depositors of unlimited legal-tender silver dollars be authorized, the mints, as to appropriations, raay be promptly placed in condition to execute tbe large silver coinage which would beyond doubt devolve upon them.

REGULATIONS FOR THE TRANSACTION OF BUSINESS AT THE MINTS AND ASSAY-OFFICES. Immediately after entering upon my duties as Director uuder the coinage act of 1873, my attention was given to the preparation of instructions and regulations, having for their object the careful, skillful, and economical conducting of the various processes and operations appertaining to the coinage, and to insure safety to the government and correct returns to depositors of bullion. Tbe regulations then in force were adopted with such modifications as were required to make them conform to the new law, and have since been araended froin time to time by the addition of such checks as care ful observation and experience have shown to be advisable or necessary. Among these amendments is a regulation requiring a raore perfect sys tem of receiving, distributing, and accounting for the various articles ordinarily consumed iu the mints, and uuder which each article deliv ered to auy officer is charged and receipted for, and a record kept in such manner as to show at any time tbe supplies purchased and con sumed. At the eud of each fiscal year the books are required, to be balanced as to each article of supply, an inventory of the number and quantity ou hand taken, and, after verification with the books, transmitted to the Director. It is believed that the regulations are now as complete as they can be made, and with a view to put them in form for ready reference and more convenient use, they will be compiled, aud a new edition printed at an early day. My obligations are due to the clerks of this office, and to the officers, clerks, and workmen of the diff'erent miuts and assay-offices, for the faithful and intelligent discbarge of their respective duties. Statements contaiuing full inforraation in detail, respecting the coin age and collateral subjects, are presented iu the Appeudix. I have the honor to be, very respectfully, H. E. LINDEEMAN, Birector of the Mint. Hon. JOHN SHERMA^N, Secretary of the Treasury,

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Deposits andpurchases of bullion at the mints and assay-offices during thefiscalyear ended June 30, 1877, oo Mints. Assay-ofl5ces. Description. Total. Philadelphia. San Francisco. Carson. Denver. New Orleans. New Tork. Boise. Helena. Charlotte.

GOLD.

|8, 637,132 91 |2, 249, 668 51 $707, 922 63 $11, 594, 724 05 525, 026 60 33, 735, 335 77 |1, 738, 298 28 $562, 429 22 .$303 01 6, 685, 821 98 $80, 040 54 $140, 800 23 $9, 988 30 43, 478, 103 93 74, 269 56 99 91 391 96 372, 578 25 447, 339 68 265, 093 46 2, 859 06 4, 223 79 565,361 91 373 03 837,911 25 ForeigD bullion '.. 38,184 76 362, 902 16 1, 530, 076 20 1 931 163 12 15, 695 31 76, 082 3d 97 80 2,001,385 24 2, 093, 260 73

Total ffOld 9, 555, 402 60 36, 424, 088 73 1, 738, 298 28 ^ 565, 288 28 5, 076 56 11, 863,146 21 80, 040 54 140, 800 .23 10,361 33 60, 382, 502 76 o H SILVER. • O 4, 770, 934 17 319,115 13 233, .500 00 360, 494 92 5, 684, 044 22 ITnited States bnllion 4,123,709 13 1.3,181, 033 12 3,420,130 89 11, 218 50 6,311,137 61 170 95 62,163 11 17 53 27,109, 580 84 S, 232 79 1, 020, 000 00 130 28 1, 028, 363 07 H •Tpvxrplprts' Vin.ru 41, 991 11 7, 623 39 358,111 95 3 61 407, 730 06 Foreign bullion 1, 954, 026 73 427, 200 46 246 59 572, 523 48 2, 953, 997 26 W 55, 049 87 124,284 51 8, 410 20 57, 869 90 245 614 48

Total silver 10, 953, 943 80 15, 071, 633 22 3, 653, 630 89 11,218 50 16,280 18 7,660,268 14 .170 95 62,163 11 21 14 37, 429, 329 93 l-H

Total amount received and. 576, 506 78 80, 211 49 operated upou 20, 509, 346 40 51, 495, 721 95 5, 391, 929 17 • 21, 356 74 19,523,414 35 202, 963 34 10, 382 47 97,811,832 69 o LESS REDEPOSITS. QQ Gold 8, 637,132 91 ' 2,219,668 51 707, 922 63 11, 594, 724 05 Silver 4,770,934 17 319,115 13 233, 500 00 360,494 92 5, 684, 044 22

Total redenosit"=j 13, 408, 067 08 2, 568, 783 64 233, 500 00 1,068,417 55 17, 278, 768 27

Total deposits and purchases 7,101, 279 32 48, 926, 938 31 5,158, 429 17 576, 506 78 21, 356 74 18, 454, 996 80 80,211 49 202, 963 34 ~10, 382 47 80, 533, 064 42

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Coinage executed at the mints of the United States during thefisoal year ended June 30, 1877.

Mint of theUnited States, Mint of the United States, Mint of the UnitedStates, Philadelphia. . San Francisco. Carson. Total. Denomination.

Pieces. Value. Pieces. Yalue. Pieces. Value. ' Pieces. Value.

GOLD.

Double-eagles 489, 700 $9, 794, 000 1, 623, 000 $32, 460, 000 84,385 $1, 687, 700 2,197, 085 $43, 941, 700 Fagles 120 1,200 5, 500 55, 000 5,620 56 200 Half-eagles 180 900 6,500 32, 500 6," 887' ' 34,'435' 13, 567 67 835 Three-dollars 1,488 4,464 1, 488 4,464 Quarter-easles t'. 312 780 2,000 5,000 2. 312 5,780 Dollars .^. 2,220 2,220 2,220 2 220 o Total gold 494, 020 9, 803, 564 1, 637, 000 32,552,500 91, 272 1, 722,135- 2, 222, 292 44, 078, 199 H O SILVER. o Trade-dollars . .. . 899,900 899, 900 8, 042, 000 8, 042, 000 221, 000 221, 000 9,162, 900 9,162, 900 Half-dollars 11,298,700 5, 649, 350 5, 650, 000 2, 825, 000 2, 544, 000 1, 272, 000 19,492,700 9, 746, 350 Quarter-dollars 16, 668, 700 4,107,175 9, 080, 000 2, 270, poo 4, 588, 000 1,147, 000 30, 336. 700 7, 584,175 Twenty-cents . .. 7,200 1,440 7,200 1,440 Dimes . 7, 270. 700 727, 070 4,120,. 000 412, 000 9,160,666 916, 000 20, 550, 700 2, 055, 070

Total silver 36,145, 200 11,444,935 26, 892, 000 13, 549, 000 16, 513, 000 3, 556, 000 79, 550, 200 28,549,935

MINOR. ^ Five-cent > 505, 000 25, 250 505, 000 25, 250 Three-cent One-cent . ... 3, 691, 500 36, 915 • 3, 691, 500 36, 915

Total minor 4,196, 500 62,165 4,196, ."SOO 62,165

Total coinage 40, 835, 720 21, 310, 664 28, 529, poo 46,101, 500 16, 604, 272 5, 278,135 85, 968, 992 72, 690, 299

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Bars manufactured at the mints amd assay-offices during thefisoal year ended June 30, 187t. to o Mints. Assay-offices. Description. • Total. Philadelphia. San Francisco. Carson. Denver. New Orleans. New York. Boise. Helena. Charlotte.

GOLD.

Fine bars $84, 265 85 $72, 705 13 $3, 972, 866 96 $4,109, 837 94 Unparted bars 2, 249, 668 50 $567, 705 99 $5, 076 56 $80,040 54 $140, 600 23 $16, 36i 33 3, 0.53, 653 15 Totalgold 64, 265 85 2, 322, 373 63 567, 705 99 5,076 56 3, 972, 866 96 80, 040 54 140, 800 23 10,361 33 7,163, 491 09

SILVER. o Fine bars 74,441 96 387, 885 92 $659, 609 28 7, 764, 264 18 8 886 201 34 w Standard bars 11,957 13 102,021 19 113,978 32 H Sterlin"' bars 53, 359 88 53,359 88 426, 917 06 6, 886 02 16, 280 18 170 95 62,163 11 21 14 512, 438 46 O t2j Total silver 86, 399 09 814, 802 98 659, 609 28 6, 886 02 16, 230 18 7, 9 9, 645 25 170 95 62,163 11 21 14 9, 565, 978 00 H Total gold and silver 150, 664 94 3,137,176 61 659, 609 28 574, 592 01 21, 356 74 11, 892, 512 21 80, 211 49 202, 963 34 10, 382 47 16, 729, 469 09 w

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Gold and silver of domestic production {including United States bullion purchased) deposited at the mints and assay-offices during the fiscal year ended June 30, 1877.

Mints. Assay-offices. Locality. Total. Philadelphia San Francisco. Carson. Denver. New Orleans. New York. Boise. Helena. Charlotte.

GOLD.

Alabama $2,168 93 $302 44 $2, 471 37 Alaska $12,552 90 12, 552 90 Arizona 191 25 221, 521 28 18, 937 67 240, 650 20 California 3, 068 86 8, 943, 859 61 $363 01 943, 348 03 9, 890, 639 51 Colorado = 57, 524 16 1, 320 88 $487, 953 45 1, 880, 622 88 2,427,421 37 Dakota 221, 016 63 10, 029 60 64, 087 .38 163,321 81 458, 455 42 Georgia 45,187 08 27, 312 67 72 499 75 o Idaho 10, 992 94 53.5, 760 21 525, 063 36 $72,253 18 1,144, 069 69 Kansas 804 01 804 01 H Montana 23, 945 16 29, 626 20 1,078 24 1,995,361 68 $140, 800 23 2,190,811 51 Nebraska 719 68 • 7, 424 58 8,144 26 Nevada 247 50 51,911 26 $38, 496 99 57, 726 09 198,381 84 o New Hampshire 65 32 65 32 New Mexico 358 20 1, 355 15 4,718 14 69, 027 67 75,459 16 North Carolina 69, 640 25 1,246 61 $9,139 34 80, 026 20 o Oregon 7, 380 02 678, 755 60 5, 956 03 692, 091 65 H South Carolina 258 49 679 i2 937 61 Tennesbee 117 58 208 69 326 27 w Utah.... 3,266 17 27,300 14 30, 566 31 Yermont 113 43 113 43 g Yirginia 2, 066 14 684 62 2, 750 76 Washiugton 503 93 22, 933 85 23 437 78 AV voming 4, 413 69 440 73 2, 637 39 419, 408 74 426, 900 .55 Keuued gold 20, 464, 997 79 20, 464, 997 79 Parted from silver 11,081 44 1,'464, 722 25 548, 265 81 2 024 069 50 Contained in silver 2, 757, 004 54 1, 954 62 88 96 2, 759, 048 12 Other sources -. 63, 420 40 4,713 55 542 87 68, 676 82

Total gold 525, 026 60 33, 735, 335 77 1,553,219 24 562, 429 22 5, 076 56 6, 685, 821 98 78,298 17 140, 800 23 10, .361 33 43,296,369 10

SILVER.

Arizona 145 70 256, 669 68 11,241 72 268, 057 10 Califoruia 8, 377 14 140, 2L9 62 1,617 48 150, 204 24 Colorado 138, 521 21 4, 949 00 2, 930, 303 43 3, 073, 773 64 Idaho 4, 035 45 38, 473 27 8199 42, 590 71- Lake Superior 2, 702 03 167,833 00 170, 535 03 to Montana 395 56 467, 038 24 62,163 ii 529, 59G 91

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Gold and silver of domestic production (including Uniied States bullion purchased) deposited at the mints aud assay-offices, ^c.—Continued.

Mints. Assay-offices. Locality. T8tal. Philadelphia. San Francisco. Carson. Denver. New Orleans. New York. Boise. Helena. Charlotte.

SILVER Continued.

$7, 818 36 $7,818.36 2,863,901 68 $5, 325, 537 96 $3, 257, 690 81 $1,037,326 48 12, 484, 456 93 New Mexico 889 61 370, 239 28 371, 128 89 Utah 4, 078 37 65, 003 82 1,239,241 45 1,308,323 64 'Wyoming _ 5, 037 11 5, 037 11 6, 799, 065 33 6, 799, 065 33 hj Parted from gold 12, 797 64 1, 879 51 81, 259 42 95, 936 57 O Contained in gold 83, 239 99 $6, 269 50 $1, 831 33 91,340 82 Other sources 1, 279, 646 38 472, 833 45 $16,280 18 $21 14 1,768,781 15 H Total silver 4, 323, 309 13 13, 181, 033 12 3, 259, 570 32 11, 218 50 16, 280 18 6, 3M, 137 61 1, 913 32 $62,163 11 21 14 27,166, 646 43 O

Total gold and silver. 4, 848, 335 73 46, 916, 368 89 4, 812, 789 56 573, 647 72 21, 356 74 12, 996, 959 59 80,211 49 202,963 34 10, 382 47 70,463,015 53 W

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REPORT OF THE DIRECTOR OF THE MINT.

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REPORT

DIRECTOR OF THE MINT.

TREASURY DEPARTMENT, OFFICE DIRECTOR OF a?i-iE MINT, November 1,1878. ' SIR: In comi^liance A^4tll section 345, Title YII, Eevised Statute^ United States, I liave the honor to submit the following report of the operations of the mints and assay-offices for the fiscal year ended Jnne 30,1878: The amonnts of gold and silver deposits and purchases, coins struck, and bars mannfactnred were as follows:

DEPOSITS AND PURCHASES. Gold deposits $65,251,773 22 Silver deposits and purcliases 39,843,127 07 Total amonnt received and operated npon 105, 094, 900 29 Deducting redeposits, bars made and issned by one institution and deposited at another, the deposits were— > Gold.... $52,669,217 89 Silver 35,586,623 12 Total 88,255,841 01

COINAGE. Pieces. Value. Gold 2,934,832 $52,798,980 00 Silver (trade-dollars) 11, 378, 010 11, 378,010 00 Silver (standard dollars) 8, 573, 500 8,573, 500 00 Silver (fractional coin) 30,172,240 8,339,315 50 Minor coin. 3,059,800 30,694 00 Total 56,118,382 81,120,499 50

BARS. Fine gold. $7,452,915 46 Unparted gold ° 778,254 01 Mint gold 4,270,756 76 — $12,'501,926 23 Fine silver 11,325,690 29 Unparted silver 408,290 60 Standard silver 87,928 29 Mintsilver... 32,476 69 . • — 11,854,335 87 Total 24,356,312 10

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250 REPORT ON THE FINANCES. The distribntion of the gold and silver bullion deposited and pnrchased^ including redeposits, was as follows:

Silver depos Grolcl deposits. its and pur Total. chases.

Mint at Philadelphia .$12, 569, 111 66 $12,413,133 09 $24, 982, 244 75. Mint at San .T'l-ancisco 38, 732, 735 60 13, 519, 908 62 52, 252, 644 22 Mint at Carson 737, 719 85 2, 447, 279 59 3,184, 999 44 Mint at Denver 352,166 28 12, 332 27 364, 498 55 Mint at jSTew Orleans. 4, 593 37 13,960 80 18, 554 17 Assay-ottice at JSTew York. 12, 437, 589 44 11, 049, 341 58 23, 486, 931 02 Assay-otlice at Boise 60, 725 03 1, 708 86 62, 433 89 Assay-office at Heleiia 331, 460 51 385, 277 90 716, 738 41 Assay-office at Charlotte .. 25, 671 48 184 36 25, 855 84 Total . 65, 251, 773 22 39, 843,127 07 105 094, 900 29

The coinage at the different mints during the fiscal year was as fol lows :

Pieces. Value.

Mint at Pliiladelphia: Cold coinage 778, 384 ;10, 892, 800 00 Silver coinage (trade-dollars) ... 2, 386, 010 2, 386, 010 00 Silver coinage (staudai-d dollars) 4, 907, 500 4, 907, 500 00 Silver coinage (fractional coin) . 16,190, 240 4, 516, 315 50 Minor coinage 3, 059, 800 30, 694 00 Total 27, 321, 934 22, 733, 319 50 Mint at San Trancisco : Gold coinage 2,102,100 41, 039, 500 00 Silver coinage (trade-dollars) ... 8, 582, 000 . 8, 582, 000 00 Silver coinage (standai/d dollars) 2, .5.52, 000 2, 552, 000 00 Silver coinage (fractional coin) . 8, 352, 000 2, 734, 000 OO Total 21, 588,100 54, 907, 500 00 Mint at Carson: Cold coinage .54, 348 866, 680 00 Silver coinage (trade-dollars) ... 410, 000 410, 000 00 Silver coinage (standard dollars) 1,114, 000 1,114, 000 00 Silver coijiage (fractional coin) . .5, 630, 000 1, 089, 000 00 Total 7, 208, 348 3, 479, 680 00 Total coinage 56,118, 382 81,120, 499 50

The bars made at the mints and assay-offices were as follows:

Unparted Fine gold. gold. Mint gold. Total.

Mint at Philadelphia ' $61, 753 83 $61,753 83 Mint at San Prancisco Mint at Carson Mint at Denver $35.5, 095 56 355, 095 56 Mint at Ne^v Oilcans 4, 593 37 4 593 37 Assay-office at JSTCAV York 7, 391,161 63 $4, 270, 756 76 11, 661, 918 39 Assay-office at Boise •61, 433 09 61, 433 09 Assay-office at Helena 331,460 51 331 460 51 Assay-office at Charlotte 25, 671 48 25 671 48

Total gold 7,452,915 46 778, 254 01 4, 270, 756 76 12, 501, 926 23

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DIRECTOR OF THE MINT. 251

Standard Unparted Mint silver. Total. . Pine silver. silver. silver.

Mint at Philadelphia $101, 739 26 $101, 739 26 14, 889 86 14, 889 86 Mint at Carson 171, 379 07 171,379 07 Mint at Denver $7, 712 09 7 712 09 Mint at JSTew Oilcans 13,960 80 13,960 80 Assay-office at jSTew York 11, 037, 682 10 $87,928 29 $32, 476 69 11,158,087 08. Assay-office at Boise 1,155 45 1,155 45- Assay-office at Helena 385,277 90 385, 277 90 Assay-office at Charlotte 184 36 184 36 Total silver . ' 11, 325, 690 29 87, 928 29 408, 290 60 32, 476 69 11, 854, 385 87

The following is a statement of the earnings and expenditures of the mints and assay-offices during the fiscal year: Seigniorage on coins is not properly an earning of the mint; neither is the expense of distributing the coin manufactui*ed on government ac count properly an expenditure; but these items are included in the statement as the most convenient place to exhibit them. The coinage of the last year and bars manufactured is the largest in value ever executed in one year in the history of the mint. As nearly as can be ascertained, the cost of manufacturing silver coin is, on the average, about four times as great as that of gold Avhen the gold coinage is ia denominations less than ten-dollar pieces. Our gold coinage siace the suspension of specie iDayments in 1861 has consisted principally of double eagles, and the relative cost, as stated, of coining the two metals has, therefore, been exceeded. There is practically no difference in the cost of manufacturing a double eagle from that of a silver doUar.

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Statement of earnings and expenditures of the mints and assay-offices of the United States for the fiscal year ended June SO, 1878. to Mints. Assay-offices. Total. PhHadelphia. San Ei-ancisco. Carson. Denver. j^ew Oileans. ISTew York. Boise City. Charlotte. Helena.

Earnings: $26, 935 20 $142, 479 04 $.5, 604 39 $175, 018 63 4, 210 64 159, 829 62 19,130 90 $81, 542 48 264, 713 64 SeiomiorasTP on fractional silver coin 585,114 55 228, 844 99 121, 760 .57 935, 720 11 Seigniorage on standard silver dollars 388, 006 96 200, 009 60 • 82, 913 37 670, 929 93 Sweeps and grains from deposit nieltmg-room. 566 58 .$901 40 4,. 022 76 $210 15 5, 700 89 Cain on minor coina<^e 14,197 52 14,197 52 4, 434 44 4, 434 44 Proceeds sale of old material 753 27 4,-147 30 65 00 4, 965 57 O Assay of ores Sec 166 25 •414 00 $3 00 3.52 50 $66 66 $151 50 196 00 1, 349 25 3, 771 39 166 22 1, 824 99 5, 762 60 H 3?remiuni on drafts 201 24 201 24 455 63 23 65 208 89 10 72 892 30 1, 591 19 O Snrplus bullion (wei*^h-room) 141 58 141 58

Total • 1, 024, 526 99 739, 283 18 229, .575 45 1, 771 03 26 65 87, 742 73 274 89 162 22 1, 363 45 2, 084, 726 59

Expenditures: Salaries • 34, 850 00 24,900 00 23, 549 90 7, 950 00 4,707 92 32, 900 00 • 2, 000 00 1, 500 00 4, 000 00 136, 357 82 VV ages of workmen 284, 572 31 274, 991 81 79, 990 13 6, 459 00 2, 968 35 19, 489 00 501 44 2, 000 00 670, 972 04 Contingent expenses . 67, 645 93 80, 368 20 42, 036 45 3, 800 00 1, 362 16 8, 424 60 1, 328 33 250' 00 3, 000 00 208, 215 67 4, 387 19 129, 917 43 22, 416 60 73, 581 71 230, 302 93 23 Expenses distiibnting Pactional silver coin... 40,112 47 50, 306 40 16, 245 50 106, 664 37 Exnenses distributino" minor coins 2, 908 44 2, 908 44 Expenses manufacture fractional silver coia .. 3.55 59 21, 704 58 22, 060 17 a Expenses manufacture standard dollars 53, 953 41 • 14,117 57 9, 728 95 77, 799 93 13,105 26 10, 407 78 2, 211 90 25, 724 94 6, 580 17 7, 888 92 3, 243 08 3, 065 04 20,777 21 Expenses distributing standard dollars 6, 942 75 270 18 9, 387 50 16, 600 43 1 95 ' 1 95 Ereioht on coin and bullion 10, 916 27 10, 916 27

• Total '626, 331 74 614, 872 87 208, 810 01 18, 209 00 9, 038 43 137, 460 35 3, 829 77 1, 750 00 9, 000 00 1, 529. 302 17

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DIRECTOR OF THE MINT. 253

SILVER PURCHASES. The Director being charged with the supervision of the details of the purchases of silver.bullion made by the Secretary of the Treasury, it is proper that a brief account of the purchases should be submitted ia this report. Purchases of silver bullion were made during the year under the pro visions of the specie-resumption act and also the act to authorize the coinage of the standard sdver dollar. Those made under the former act were for the requireuients of the fractional coinage, and under the latter^ for the coinage of the dollar. Purchases of bullion for the fractional coinage were made from time to time during the year until February 28, 1878, and amounted to •5,984,693.64 fine ounces, at a cost of $7,114,548.69, an average of 118.879 cents per ounce fine. The London rate for silver bullion during this period averaged. 54.3107 pence per ounce, British standard, equivalent to 119.055 cents per ounce fine. The total amount of silver bullion purchased by the government for coinage into fractional coins from January, 1875, to February 28, 1878, at which time this coinage was intermitted, was 31,603,905.87 fine ounces, for which $37,571,148.04 Avas paid in gold coin, an average of 118.881 cents per ounce fine. The average London rate during the above-men tioned period was 54.674 pence, the parity of which is 119.911 cents per ounce fine. Atthe date of the authorization of the standard silver dollar there was on hand in the Treasury and mints in fi'actional silver coins $6,253,624.76^ and the demand for these coins being hght, this amount was regarded as sufficient to meet any probable demand for some time to come, and the coinage of fractional silver was temioorarily suspended and x)rcpara- tions made to work the mints to their full capacity in striking the dollar. Purchasing silver for the dollar coinage was commenced in March, and continued from time to time as advantageous offers of the same were made, or as the mints required additional bullion for their current work. The total amount purchased for the dollar coinage up to September 30 was 17,925,701.99 fine ounces, at a cost to the government of $21,057,- 369.17, an average cost of 117.47. cents per ounce fine. The average London rate during this period was 53.1208 pence, which, calculated at the par of exchange, is equivalent to 116.447 cents per ounce fine. In arri^dng at the parity of the London rate in all purchases th at have been made, the price of sterling exchange is an element in the calculation. The average rate for sterling exchange from March to September, inclusive, Avas $4.88, at which rate the parity of 53.1208 pence is 116.77 cents per ounce fine. At the coining rate for standard silver dollars, $1.16j^3^ per standard ounce, the above amount purchased will produce $23,176,665.19. All silver is purchased at its gold value, and of the amount paid for silver bullion for the dollar coinage $7,672,792.95 was paid in gold coin, and $13,384,576.22 in standard silver dollars. Soon after the i^assage of the act authorizing the coinage of the stand ard silver doUar, and an attemiDt being made to procure the requisite bul lion for itfe coinage at the mints on the Pacific coast, it was found that the producers and dealers would not sell silver to the government at the equiv alent of the London rate, but demanded in addition thereto an amount equal to the cost of bringing it from London and laying it down in San

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254 REPORT ON THE FINANCES.

Francisco. These terms being deemed exorbitant were rejected, and arrangements were immediately made to bring the capacity of the Mint at Philadelphia to its maximum with a view to meet the provisions of law, which required two millions ot silver dollars to be coined in each month, and the available suiDplies of silver from domestic sources being entirely insufficient for the coinage of this amount, the foreign market was indirectly resorted to and an amount sufficient to meet the require ments of law secured. In.July, 1878, the principal holders of bullion on the Pacific coast receded from their position and accepted the equiAâlent of the London rate, at which price sufficient bullion was i)urchased to emi^loy the mints at San Francisco and Oarson on the coinage of the dollar. All pur chases since made have been of domestic bullion. PURCHASES OF GOLD BULLION. Arrangements have been made, under the provisions of existing laws and pursuant to your instructions, for the purchase by the government of gold bullion deposited at the ihint at Denver and the assaj^-office at Charlotte, 'N. C. . ' Heretofore bullion deposited at these institutions has been melted and assayed and the resulting un]3arted bar or bars returned to the de^ IDOsitor, a charge being imjôsed for the operation. While this benefited the depositor in so far as it enabled him to ascer tain the value of his bullion, whicli was placed also in a more convenient marketable shape, yet to obtain the value in money he was necessitated to resort to local bullion-dealers. By the arrangement lately consummated, however, the government becomes the purchaser, and takes the bullion at its coining value, pay ing for the same in United States legal-tender notes at par, or in stand ard silver dollars, at the option of the seller. In addition to the charge for melting and assaying, ibhe usual mint charges are imposed for part ing, refining, or toughening, should any of these operations be required to fit the metal for coinage, and also the cost of transportation to the Mint at Philadelphia, where the bullion is coined on government account. Bullion so purchased is transmitted to the Mint at Philadelphia in regis tered iâckages by mail as third-class mail matter. The purchase of gold bullion at the assay-offices at Helena, Mont., and Boise City, Idaho, mil also be commenced so soon as satisfactory arrange ments can be made with the exx^ress comiânies for the transportation of the bullion to the mints. The insecurity of the mail, which is carried by stage-coach through the Territories named, iDrecludes sending govern ment bullion by that method. This measure, by which the miners can exchange their bullion at its mint value for circulating money, Avill no doubt prove of great advan tage to the mining interests, and will remove all necessity for additional coining facilities for many years to come. THE MINT AT NEW ORLEANS. At the last session of Congress provision was made for reopening the mint at ISlew Orleans for coinage purposes. Some little delay was occa sioned in preparations for this object from, the fact that the square of ground upon, which the mint is located belonged to the city of Kew Orleans, and had been deeded to the government, at the time of the erection of the building, for only so long as it should be used by the government for minting puiposes. The act of Congress making appropriations for the mint at New

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DIRECTOR OF THE MINT. 255

Orleans proAdded that no expenditure of money should be made for that mint until the city should release all title and claim aiid all conditions of forfeiture to tl\e lands or premises upon which the mint is located, and negotiations looking to that effect were entered into with the city authorities, which resulted in the square of ground being deeded in fee- simple to the government. During the late war much of the machinery, ai^paratus, &c., had been injured and otherwise rendered ineffective from disuse and other causes incident to war, and extensive reiâirs besides additional machinery were required. As soon as the title to the property had been secured to the govern ment, and the officers of the mint had been appointed, the necessary repairs were commenced, but the^^ have been impeded to a consider able extent by the prevalence of yellow fever in Kew Orleans, which not only delayed the repairs but i)reven.ted skilled mint operatives from going to that city until the epidemic should subside. As many mint operations require special skill and knowledge on the part of the operatives, a few of the apiDointees to that mint Avere assigned to duty at the mint at Philadelphia in order to familiarize themselves vnt\i the work which they will be called uiôn to xêrform, and mil be transferred to Kew Orleans as soon as it is safe for them to go there. The various operative rooms in the mint haAê been placed in. good condition, the melting and annealing furnaces restored, the engine and machinery repaired, and such additional machinery as is required to render this mint effectiAê for coinage has been iDrocui*ed, and it is be- licAêd that by the end of the current calendar year eAêrything pertain ing to the mint AAnll be in a condition to commence coinage. The ISTCAV^ Orleans mint Avill add to the coining capacity of the mints about $1,000,000 in silAêr dollars per month, but this caiâcity Avould be somewhat re duced if called upon to execute any considerable amount of gold or frac tional silAêr coinage. PRECAUTIONS AGAINST COUNTERFEITING. I have long been impressed with the belief that the Avorst danger Av^hich threatens our gold coin, from counterfeiters, is the filling AYith an .inferior metal or alloy. By this art the piece presents genuine exteriors, but the inner part haAîng been removed, a disk of platinum, pure or alloyed, is inserted in its ]Dlace and closed AAdth a ribbed rim of gold. It is, therefore, x>artl.y genuine and partlj^ counterfeit, and its value is re duced by scAêral dollars, differing according to the denomination of the piece. The largest chance of spoliation of course occurs with the twenty- dollar piece, but the pieces often and five dollars haAê also been filled. So far the mischief has been very limited, as it CAadently requires first- class workmen, and is SIOAV work; but pieces of this sort are,-of all false issues, the most difficult to detect. Some exxêriments Avere made at the Philadelx:)hia mint in 1860 to de termine AAêther this fraud might not be. x^rcAênted by materially lessen ing the thickness of the coin and consequently enlarging its diameter, 'at the same time giving the disks a slight concaAdty, so as to make the Xnece of a minimum thickness at the center. A pair of dies Avere en- graAfed for the half-eagle, and a fcAA^ specimens prexâred on this basis. Notliing further AAâs done, for in fact in the Aêry next jêar gold dis- .appeared from circulation and has so continued, until Ave are UOAV on the •eve of resuming its use. I haA^ê therefore thought it desirable, in order togiAê our gold coin greater security, to experiment still farther in this

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256 REPORT ON THE FINANCES.

line, and to this end exxDcrimental dies are being prexâred for the half and quarter eagle denominations. The larger piece Avill be exxânded to nearly the surface of the x^resent eagle, and adjusted botli to ordinary and metrical scales, Aaz, one inch or about tA\ênty-six millimeters in diameter. The smaller piece Avill be of the diameter of tlie present three-dollar Xîece, about four-fifths of an inch, or twenty millimeters. These measures make the x^lanchet so thin that saAraig out the inte rior x^î't Avould be a A^êry critical, not to say impossible, feat, and not likely to x^^y for the labor. At the same time the coins AAôuld be tliiclc enough at the raised border to be easily taken ux) by the fingers and stiff" enough to resist bending. The dimensions of our coins ha-Aê ncAêr been a matter of legal enact ment, and ablteration could be made, if so desired, Avith the apxî'oval of the Secretary of the Treasury. THE TRADE-DOLLAR. The xûipose for Avliich tlie trade-dollar AAâs instituted and the mode in AN^liicli these coins A\êre sux^x^li^^d by tlie miuts aie already Avell known, and it is unnecessai'y to adAêrt in this rexôrt to that subject. It is suf ficient to state that AvhereA'cr tliey haAê been introduced in China they liave met ^vith a faAôrable recex3tion and continue to groAv in the esti mation of the Chinese. It is only in the southern xôrts, hoAvcAêr, of the Cliinese emxîre, that the xêox^le are familiarized with these coins; in the northern xârt they are as yet unknoAvn. The extracts^ from rexôrts made by the Hong^

^ The United States trade-dollar lias been AveU .received in Cliina^ and is eagerly welcomed in those x^î'its of the conntry where tlie true value of the coin, is known.. It is a legal tender at the x>orts of Xôochow and Canton in China, and also at Saigon a.nd Singapoi'e, and, althongh not legally cnnent in this colony, it is anxiously sought after by the Chinese, and in the bazaars it is sehlorn to be xûrchased. In proof of the estimation in which the trade-dollar is held in tlie south of Cliina, we need only state that the bulk of the dii'ect exchange business betAAêen Sa.n Francisco aaid Hong-Ivong (whic]i is very considerable) is done in this coin, the natives x^referring it to tlie Mexi- caai dollar. Late advices fi.om San X^ra,ncisco rex:)ort that so great is the demand for trade-dollars, for shix;>meLit to Cliina, that the California mint is unequal to the task of turning out the coin fast enough to sa.tis.fy requirements. Tliis is, in our estimation, evidence X)OAAêrfal enoi;igh to convince tlie most skeptical as to Avhether the United States trade- dollar has been a success or not. It is the best dollar Ave liave ever seen here, and as- there can be no doubt as to the standard and xiiU-ity being maintained, it-Avill become more xôpidar day by day, and, AA^C doubt not, ultimately lind its Avayinto the norfchi of China, Avhere the xêople ai'e more prejudiced against innovation. Trade-dollars are current by count at Singapore, Penang, Bangkok, and Saigon;.: they are current by AAêight at SAvatOAV, Amoy, FoochoAv, and Canton. In Hong-Kong they are not a legal tender, and the banks will only take them from each other by special arrangement; but the Chinese take them freely in Hong-ICong Avhen they want coin of any descrixDtion, which is very seldom, as they prefer bank-notes, and only take coin from the banks Avhen they require to export it from the colony. In the South of" China, the Straits and Cochin China, the trade-dollar is Avell knoAvn and passes Avith out comment along Avith tlie clean Mexican dollars, but in Sliangha.i and the northern ports it is unknown, and is not likely to be current for a length of tiuie. My opinion is that ultimately it will be current all OAêr China; it is the best coin that CAêr has been imported, and, being X)rodnced at the fonntain-head of silver, can l)e laid down more cheax^ly than any other dollar. . The reliable character of the coin (for weight or puxity) is a further consideration Avliich must-be favorably entertained. China reqnires many millions of dollars annually, and Avhile the clean Mexican dol lar Avill be imported for the North of China, tlie trade-dollar Avill be iini)orted for the Soutli. I Avould roughly estiuiate that the San X^'rancisco steamers Avill bring from four to six lacs (four to six hun(b-ed thousand) of trade-dollars each fortnightly tri]), all the year round. I ba.se this estimate upon tlie experience of last season's requirements.

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DIRECTOR OF THE MINT. 257 Kong and Shanghai Banking Corporation, and the Oriental Bank, tAvo of the princixâl foreign banking comxjanies, dated resxêctiAêly Jan uary 30 and 31, 1877, as well as the dispatches from the United States legation in China and consuls at the Aârious ports (contained in the ap- XDendix) establish satisfactorily the fact that the trade-dollar has x^roved beneficial to the Chinese, the American merchant, and the x^roducer of silver. It has benefited the Chinese by giAdng them a coin of more uniform fineness and value and of better exebution than any other cur rent in their country; it has x^Jfpved advantageous to the American merchant by furnishing him a coin more acceptable to his foreign cus tomer and at a cheaper rate to himself; and the x^roducer of silver has not only obtained a better x^rice for his sihêr, but an increased deinand for the same has been created. So loug as gold continued at a premium and silver bullion commanded a Xnice sufficient to keep the bullion Aâlue of 420 grains of standard silver, together AAith the coinage charge for a trade-dollar, above the gold Aâlue of a United States legal-tender dollar note, there Avas no likelihood of, trade-dollars finding tlieir way into domestic circulation, at least not to any embarrassing extent; but AA'hen, from the ax^x^reciation of United States notes as comxâredtAvith gold, a.nd the decline in the value of silver, a trade-dollar added to its coinage charge became of less intrinsic value than the gold Aâlue of a dollar note, owners of silver bullion dexôsited the same at the mints for returns in trade-dollars, and x^laced them in- circiilation at a x3rofit to themsehês. This state of affairs first manifested itself in the latter xârt of 1877, and in October of that year the Secretary of the Treasuiy directed that the receipt of deposits of sihêr for coinage into trade-dollars should be discontinued at the coinage liiints and at the assay office at JSêw York. . In NoAêmber of the same ^''ear an increased demand arose on the Pa cific coast for trade-dollars for Chinese new-year settlements, and as it Avas alleged that the coins were required for export, the Secretary so far modified the former order for discontinuance as to authorize receix^ts at the Western mints for returns in these coins. It subsequently transx3ired that trade-dollars manufactured under this authorization at the mint at San Francisco Avere not all shipped to China, but the larger portion Avere transported to the Mississippi Valley as well as to the Eastern States, and there placed in circulation; accordingly, on February 22, 1878, an order Avas issued for the final discontinuance of the receipt of dexôsits for returns in trade-dollars at the Western mints. At the time of the order being issued to the Philadelphia mint and 'Eew York assay-office, October, 1877, there was due dex30sitors fbr bullion x^rcAdously dex30sited at those institutions 590,795 trade-dollars, and at the San Francisco mint at the date of the final order, February, 1878,1,695,819 trade-dollars; the suxêrintendent was instructed to settle for these dexôsits in trade-dollars, ux3on satisfactory CAddence being giAên that the same Avould be exported, or, if the dexoositor x^referred, he could receiAê his sibber back in fine mint-bars. The bullion AA-as accordingly coined, and settlement made Avith the dexpositors; the last coinage for this xûrpose being executed at Philadelphia in the beginning of Decem ber, 1877, and at San Francisco early in the ensuing April, since which time none haAê been coined. At the mint at Carson no trade-dollars were due dex30sitors for depos its made x)rior to the date of the order for discontinuance, and the coin age, therefore, ceased with the recex3tion of the order. The total amount of trade-dollars struck at the mints since the passage 17 F •

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258 REPORT ON THE FINANCES. of the act authorizing their coinage has been 35,959,360, and the total number exxDorted, as shoAA'^n by the returns of the United States customs collectors, has been 25,703,950, leaAdng a balance of 10,255,410, a con siderable portion of Avhich has found its way out of the countiy through Chinese returning to their OAATI land. It is impossible to ascertain AAdth any degree of accuracy what this last may amount to, but I estimate that during the xâst fiAêyear s it would not fall far short of $5,000,000, leaving about fiAêan d a quarter millions held by California banks and in circulation as money; about $106,000 of this last amount has been melted as bullion at the mints. The x^rincixoal xôrtion of trade-dollars UOAV in circulation were coined since the x^.assage of the act dexoriAdng them of their limited legal-tender quality, and they AAêre manufactured for depositors with the distinct under standing that they were to be exxôrted and not x^laced in domestic cir culation; and it was algo well understood that they had been deprived of their limited legal-tender character (to the extent of fiA'ê dollars) by the act of July 22, 1876. The gOATêrnment, haAdng receiAêd nothing AyhatcAêr for executing these coins except the actual exxênse of coinage, is in no degree responsible for their redemx^tion. It Avould not do to giAê them a legal-tender character, lest it should resulfc in bringing back large amounts from other countries; nor would it be right to add a large per centage to the value of these coins hj making them a legal tender or redeeming them in legal-tender money. If made a legal tender, the X3urposes of the act authorizing their coinage would l3e x^ractically destroyed. . It ax^pears from the disxâtches of Minister Seward to the Department of State that, all efforts to induce the Chinese Government to establish a mint liaAê failed, and it is quite certain that that einx3ire must dex3end on foreign coins, the use of which has been gradually increasing for some years past at the X3rincix3al x3orts of the empire. It will be to our advantage to furnish these coins, so far as we can without detriment to our OAvn money system,.and the trade-dollar haAdng attained such a favorable position in China, it Avould not appear to be advisable to re peal the laAv authorizing its coinage. The Sedretary of the Treasury X30ssesses the power under existing laAYS to restrict this coinage to the actual exx3ort demand. Silver is the money standard of Oriental nations, and the extent of our silAêr produc ing territory justifies the belief that our x3roduction, together with the silver that our trade Avill naturally command from Mexico and South America, Avill, in the near future, be in excess of any probable demand for our coinage x3nrposes, and we must look to China X3rincix3ally for a .market for our surx3lus. , CIRCULATION OF THE MEXICAN SILATER DOLLAR. After trade-dollars could no longer be x3rocured to be X3laced in do mestic circulation, money dealers and sx3eculators imported Mexican silver dollars to a large extent, and placed them in cir.culation at par in the same manner as had x3reAdously been done A\dth the trade-dollar. On these coins being offered on deposit or in payment at the banks and sav ings institutions by persons Avho had taken them at par, they were re fused. This was followed by the receipt at the Treasury Department of nu merous letters from different parts of the country, in Avhich the question AAâs in almost all cases asked Avhy the United States Treasury would

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DIRECTOR OF THE MINT. 259 not receiAê these coins. To furnish accurate' and uniform information ux3on the subject, as Avell as to protect the x3eox3le as far as X30ssible from the imx30sition X3racticed iiX3on them, it Avas decided, after consultation Avith the Secretary, to issue a circular, in A\^hich should be plainly stated the fact that these coins Avere not a legal tender in the United States, and could be receiAêd only at the mints as bullion. The trade-dollar, occux3yihg the same x30sition in resx3ect to legal tender, AVas also referred to in the circular. The effect of this circular AAâs to X3ut an almost immediate stox3 to the X3lacing of Mexican dollars in circulation in the United States. DOMESTIC. PRODUCTION OF GOLD AND SILATER. All aAâilable means liaAê been employed to ascertain as accurately as Xôssible the domestic x3roduction of gold and silAêr, and the folloAVing are the estimates.and actual returns which have been furnished of the outturn from the various States and Territories during the last fiscal year, the aggregate of AVhich, however, ax3X3ears to be somewhat beloAA^^ in gold at leastj the actual amount dex3osited at the mints.

Locality. Cold. Silver. Total.

California $15, 260, 679 $2,373,389 634, 068 ISTeA^ada 19, 546, 513 28,1.30, 350 676, 863 Colorado 3, 366, 404 5, 394, 940 761,344 Montana 2, 260, 511 1,669,635 930,146 Idaho 1,150, 000 200, 000 350, 000 trtali 392, 000 5, 208, 000 600, 000 Arizona 500, 000 3, 000, 000 500, 000 jSfew Mexico 175, 000 500, 000 675, 000 Oregon 1, 000, 000 100, 000 100, 000 AVasliington 300, 000 25, 000 325, 000 Dakota 3, 000, 000 000, 000 Lake Superior.. 100, 000 100, 000 North Carolina. 150, 000 150, 000 Georgia 100, 000 100, 000 Other sources .. 25, 000 50, 000 Total. 47, 226,107 46, 726, 314 93, 952, 421

The returns from California, KcAâda, Colorado, Montana, and Utah, the largest bullion-x3roducing States and Territories in the country^ liaAê been comx3iled from rex3orts made by the express comx3anies and State officials, and for the other States ancl Territories from the best known and most reliable sources of information obtainable. A considerable amount of gold bulhon, x>i:'oduced chiefly in California and Colorado, does not apx3ear in the returns made by the exx3ress companies ; in Cal ifornia being taken direct to the mint at San Francisco by the OAvners, and in Colorado being shix3ped from the State through x3riAâte htods. I estimate that this Avould add to the gold x3roduct as aboAê given of Cal ifornia at least $2,500,000, and to that of Colorado $500,000. These amounts added to the foregoing returns AAôuld bring the total gold x3ro- duction for the year to $50,226,107, an estimate which I belicAê to be not far from the actual amount. The records of the mints shoAv that $48,075,123.76 of domestic gold bullion was' actually dex30sited, and the;rex3orts of the customs authori ties exhibit $205,3i9 of domestic bullion exx3orted, thus leaAdng about $2,000,000 of the estimated x3roduction of the country unaccounted for, an amount most likel}^ consumed in manufactui'es and also held by X3ri- Aâte X3arties, X3articularly in the Black Hills region and other remote mining sections of the country.

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260 REPORT ON THE FINANCES.

The returns of sihêr as made by the exx3ress coinx3anies more nearly a;X3X3iôximate the actual x3roduction of the resx3ective States and Terri tories, as silver, from its greater bulk and weight, is not so readily trans ported by X3rivate X3arties as gold. A considerable amount is extracted, hoAvcAêr, from ores sh.ipx3ed as freight and not by exx3ress. During the fiscal 3êar, $28,795,195.80 of domestic sihêr Avas dex30sited at the mints or purchased by the gOAêrnment, and $15,035,045 of the domestic production AAâs exx3orted in the form of bullion. At the close of the year a large amount Avas being held for higher prices by the X3rin- cipal x3roducers on the Pacific coast (sold a short time afterward to the gOAêrnment), and this, together with the amount consumed in the arts and manufactures, x3robably in. all about $5,000,000, would bring the total domestic x3roduction of sihêr for the year to about $49,000,000. • • In AdcAT of the near a-x^x^roach to sx3ecie resumption and the x3laciDg of our currency ux3on a sound basis, it is Aêry gratifying to know that dur ing the X3ast year the mines of the United States haAê added to the solid Avealth of the country neaidj^ one hundred millions of dollars in the X3re- cious metals, and that tliis large x3roduction is not only likely to con tinue, but x3robably AAdll increase in the near future. MONEY STATISTICS. In estimating the stock of gold and sihêr coin and bullion in the country, the X3rincipal difficulty encountered is to ascertain the amount consumed in the arts and manufactures. I estimate, hoAvcAêr, that during the X3ast year no greater amount of the x3recious metals has been thus consumed than during the x3reAdous year, and the estimate is suffi ciently large to be a safe amount to deduct from the net amount on hand June 30, 1877, added to the year's x3roduction and excess of imx3orta- tions over exportations, in order to ascertain the net or aAâilable stock of coin and bullion on hand June 30, 1878. Basing an estimate for the X3ast fiscal year upon the estimate of the X3reAdous year, 1877, we haAê: Amount of gold coin and bnllion on hand Jnne 30, 1877 , |192, 720, 230 Add tXie prodnct o.f tlie mines dnring the year, about 50, 000, 000 Imx')orfcat.ions 13, 330,715 256,050,945 Deduct exportations $9,197, 555 And x^robable amount used in arts aud manufactures 2, 500, 000 11,697,5C5 Leaves a net balance of 244, 353, 390 as the amount of gold bullion and coin in the country June 30, 1878. The estimated amount of silver coin and bnllion June 30, 1877 $50,135, 628 Production of the past year 49,000,000 Importations 16,490,599 115, 626, 227 Dednct exportations $24, 535, .670 And xî'obable amonnt used iu arts and manufactures 3, 000, 000 • 27,535,670 Leaves a net balance of 88,090, 557 as the stock of silAêr coin and bullion in the country June 30, 1878; a total of both gold and sihêr of $332,443,947; an increase during the year of $-89,588,089. '^ During the first quarter of the current fiscal year, July to September inclusiAê, the imx3orts of gold exceeded the exx3orts by $225,485, and the

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DIRECTOR OF THE MINT. 261 domestic x3roduction would probably reach $15,000,000, that x3ortion of the year being the season of greatest activity in gold-inining operations. It AYould be safe to add at least this last amount to the stock of gold coin and bullion in the country at the close of the fiscal year, making a total of $259,353,390 September 30, 1878. During the quarter the imports of sihêr exceeded the exx3orts by $1,036,096, and the domestic production may be placed at $10,000,000, thus giving an addition of about $11,000,000, or a total of $99,090,557 as the stock of silver coin and bullion Sex3tember 30, 1878. The large excess of imports of sih'er OAêr the amount exported dur ing the quarter ended Sex3tember 30, 1878, is due to the fact that the United States has been during that time a large buyer of domestic sihêr for the coinage of the dollar, and to the additional fact that, owing to the decline in the value of sihêr. United States fractional sihêr coins are returning in large quantities from the West India islands and South America, where they haAê been hitherto circulating at X3ar, aggregating OAêr $1,000,000 Avithin the three months mentioned. THE. COURSE OF SILYER BULLION. At the date of the passage of the act authorizing the coinage of the dollar of 412J grains, the X3rice of bar-silA'-er was about 55 X3ence 'peT ounce, British standard. From that date, February 2S last, the price" gradually declined until it reached 49J pence, on the 17th of October; the X3rice at the date of this report is 50^ x^^^^^- From the foregoing it AAdll be seen that the expecta^tion entertained by many, that the remonetization of the sihêr dollar would be followed by an ax)X3reciation in the Aâlue of sihêr, has not as yet been realized. The causes of the decline in. Aâlue during the X3resent calendar year haAê been a Aêry large decrease in the demand for export to India and China, the continued closure of the mints of the States of the Latin Monetary Union and of the ^Netherlands against the coinage of legal-tender sihêr coins, the use ot irredeemable X3ax3er currency by Austria and Eussia, and the readiness of the German Grovernment to meet any fair market AAdth free supx3lies, making a sale recently in London of £100,000 as low as 51f x^^^<^^ P^^ ounce. It Avill, of course, be readily understood that as long as the supply of silAêr is in excess of the demand there can be no X3ermanent rise iiiAâlue. An increased deinand of any magnitude can only arise for India and China, or in the CAênt of the resumx3tion of the coinage of legal-tender silAêr coins by France, Belgium, and the Netherlands. When the rex3ort of the United States Commissioners to the Paris In ternational Monetary CoiiAêntion shall haAê been received, we will be better able to form an opinion as to the probable action of France and other countries in reference to the ox3ening of their mints to silver than we are Avith our present information. While this complicated, uncertain, and unsatisfactory condition of affiairs with reference to the relative value of gold and silver continues, it Avill require that the course to be pursued by the United States should be very cautious in respect to the issue of legal-tender silver coins in Avhich sihêr is rated so much aboAê its market value, if gold is to be re tained as the X3rincipal money of payment and of commerce. . It should be added in this connection that while sihêr is the mone tary standard of the Austrio-Hungarian and Piissian Empires, their more recent X3nblic loans have been made upon the gold basis, which AAdll require their tariff duties to be collected in that metal. The foreign exchanges are likewise settled on the gold basis.

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262 REPORT ON THE FINANCES.

The annual settlement of the accounts of the ox3erative officers of the Aârious mints, made at the close of the fiscal year, was in all resx3ects highly satisfactory, the Avastages haAdng been unusually light. The mints and assay-offices ox3erated" during the fiscal year upon $105,094,400.29 in gold and silver bullion, and returned the same in the form of coin and bars, and, so far as the Director is informed, AAdthont a single complaint on the X3art of a depositor or seller of bullion or, in fact, of any x3erson haAdng business transactions with these institutions, and the bullion and ordinary exx3ense accounts haAê been x3romptly rendered and settled according to laAv. These results attest the skill and fidelity with which the mints and assa^^-offices are managed and conducted, and reflect credit ,ux3on all connected with the coinage. The usual detailed statements of the Aârious ox3erations of the mints and assay-offices A\dll be found in the ax3X3endix, together with information respecting the trade-dollar in China, quotations for silver bullion during the year, and reports from Aârious mining sections of the country in ref erence to the x3resent and x3robable future yield of the mines of x3recious metals, and for which I am under obligations to State and Territorial officials and others connected Avith the mining interests of their respective localities. I have, hoAvever, fbr obvious reasons^ omitted the names of indiAddual mines and mining comx3anies. My a^cknoAvledgments are especially due to my assistants and clerks for their faithful and efficient attention to their resx3onsible duties. I have the honor to be,. Aêry respectfully, H. E. LINDEEMAN, Director of the Mint Hon. JOHN SHERMAN, Secretary of the Trea&ury.

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APPENDIX.

I. Deposits and purchases of bullion during the fiscal year. II. Coinage executed during the fiscal year. III. Bars manufactured during the fiscal year. IV. Deposits of gold and silver (including purchases of silver) of domestic x^roduction during the fiscal year, V. Total dex>osits and purchases of domestic bullion from the organization of the Mint. VI. Total coinage from the organization of the Mint. ' VII. Coinage and medal dies manufactured at the Mint at Philadelphia during the fiscal year. VIII. Medals struck at the Mint at Philadelphia during the fiscal year. IX. Medals and proof-sets sold during the fiscal year. X. Minor coins redeemed, reissued, and exchanged during the fiscal year. . XI. Imxôrts and exxDorts of gold and silver coin and bullion during the fiscal jêar. XII. AVeekly quotations for bar silver during the fiscal year. XIII. Coins of the United States, authority for coiniug, and changes,in weight and fineness. XIV. The United States trade-dollar in China. XV. The Jaxânese trade-dollar. XVI. United States assay of JaxDanese "pyx" coins. XVII. Reduction in value of coins of Tunis. XVIII. Domestic bullion x^roduction.

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I.—Deposits and lyiiycliases of gold and silver bullion during the fiscal year ended June 30, 1878^.

Mints. Assay-offices. DescriiDtion. Total. San Fran 'Ne^Y Or Philadelpbia. Carson. Denver. ifew York. Helena. cisco. leans. Boise. Charlotte.

GOLD. - . Redeposits: $11, 852,438 54 $57,129 00 $11, 909, 567 54 Unparted. mint l)a(rs 31, 647 85 641, 339 94 672 987 79 United States buUion gold of domestic production 290, 541 92 $38,184, 974 40 $737, 719 85 $352,166 28 8, 092, 098 23 $60, 725 03 $331, 460 51 $25, 437 54 48, 075,123 76 United States coin 54, 963 80 160 00 245, 897 99 301, 021 79 42, 984 21 372,109 37 1,653, 585 47 2, 068, 679 05 o Foreign coin . 11, 464 31 175,491 83 $2, 376 46 1,127,128 49 1, 316, 461 09 Jewelers' bars , 285, 071 03 2, 216 91 620, 410 32 233 94 907, 932 20 H Total gold 12, 569, 111 66 38, 732, 735 60 737, 719 85 352,166 28 4, 593 37 12, 437, 589 44 60, 725 03 331, 460 51 25, 671 48 65,251,773 22 O

SILVEE. Redeposits: w l^ne bars 3, 574, 298 28 477, 410 60 4, 051, 708 88 Unparted mint bars 6,171 05 198, 624 02 204,795 07 United States buUion silver of domestic production 3, 532, 528 45 12, 848, 442 40 2, 447, 279 59 12, 332 27 9, 567, 482 47 1, 708 86 385, 277 90 143 86 28,795,395 80 United States coin 6,360 06 12 93 6, 372 99 Foreign bullion 5,116, 482 82 643, 434 78 179 73 478,181 30 6,238,278 63 Foreign coin .. .. 99, 020 58 28, 018 51 8,177 10 208,109 38 343, 325 57 Jewelers' bars 78, 271 85 5, 603 97 119, 533 81 40 50 203,450 13 o

Total silver • 12, 413,133 09 13, 519, 908 62 2, 447, 279 59 12,332.27 13, 960 80 11, 049, 341 58 1, 708 86 385, 277 90 184 36 39,843,127 07 Total amount received and oper ated upon 24, 982, 244 75 52, 252, 644 22 3,184, 999 44 364, 498 55 18, 554 17 23, 486, 931 02 62, 433 89 716, 738 41 25, 855 84 105, 094, 900 29

Less redeposits: Gold 11, 884, 086 39 698, 468 94 12, 582, 555 33 Silver 3, 580, 469 33 676, 034 62 4, 256, 503 95

Total redeposits 15, 464, 555 72 1,374,503 56. 16, 839, 059 28

Total deposits and purchases 9, 517, 689 03 52, 252, 644 22 3,184, 999 44 364, 498 55 18, 554 17 22,112, 427 46 62, 433 89 716, 738 41 . 25, 855 84 88, 255, 841 01

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1878 II.—Coinage executed during the fiscal year ended June 30, 1878.

Mhxt at Philadelphia. Mint at San Francisco. Mint at Carson. Total. ft Denomination. Pieces. Value. Pieces. Value. Pieces. Value. Pieces. Value.

GOLD. Donble-eagles.'. 494, 765 $9, 895, 300 00 2, 037, 000 $40, 740, 000 00 38, 552 $771, 040 00 2, 570, 317 $51, 406, 340 00 Fasiles i , 717 7,170 00 11, 500 115, 000 00 3, 332 33, 320 00 15, 549 .15.5, 490 00 Half-eaoles 105, 072 525, 360 00 . 20, 200 101, 000.00 12, 464 62, 320 00 137, 736 688 680 00 "Xliree dollars ... 45, 950 137, 850 00 45, 950 137 850 00 Quarter-eagles , ; 130,160 325,400 00 33, 400 83, 500 00 163, 560 408, 900 00 Dollars - .... 3, 720 1, 720 00 1, 720 1 720 00 Total gold 778, 384 10, 892, 800 00 2,102,100 41, 039, 500 00 54,348 866, 680 00 2, 934, 832 52, 798, 980 00

SILVER. o Trade-dollars 2, 386, 010 2, 386, 010 00 8, 582, 000 8, 582, 000 00 410, 000 410, 000 00 11, 378, 010 13, 378, 010 00 Dollars 4, 907, 500 4, 907, 500 00 2, 552, 000 2, 552, 000 00 1,114, 000 1,114, 000 00 8, 573, 500 8, 573, 500 00 H Half-dollars 4, 598, 510 2, 299, 255 00 3, 052, 000 1, 526, 000 00 100, 000 .50, 000 00 7, 750, 510 3, 875, 255 00 Quarterrdollars ,„..,,.,,, , 7, 052,110 1, 763, 027 50 4, 520, 000 1,130, 000 00 3, 240, 000 810, 000 00 14, 812,110 3, 703, 027 50 o Twenty cents 710 142 00 710 142 00 Dimes 4, 538, 910 453, 891 00 780, 000 78, 000 00 2, 290, 000 229, 000 00 7, 608, 910 760, 891 00 o Total silver 23, 483, 750 11, 809, 825 50 19, 486, 000 13, 868, 000 00 7,154, 000 2, 613, 000 00 50,123, 750 28, 290, 825 50

MINOR, Five cents 1,600 80 00 1,600 • 80 00 Three cents 1,600 48 00 1,600 48 00 One cent 3, 056, 600 30, 566. 00 3, 056, 600. 30, 566 00

Total minor 3, 059, 800 30, 694 00 3, 059, 800 30 694 00

Total coinao"e 27, 321, 934 22, 733, 319 50 21, 588,100 54,907,500 00 7, 208, 348 3, 479, 680 00 56,118, 382 81 1^0 499 50

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to III.—Bars manufactured during the fiscal year ended June 30, 1878. a:) a:) Mints. Assay offices. Description. Total. San Fran Philadelphia. jSTew York. • Boise. Helena. cisco. Carson. • Denver. IsTew Orleans. Charlotte.

GOLD. $61, 753 83 $7, 391,161 63 $7, 452, 915 46 Mint bars 4, 270, 756 76 4, 270, 756 76 Unparted bars . . - - $355, 095 56 $4, 593 37 $61, 433 09 $331,460 51 $25, 671 48 778, 254 01

Total gold 61, 753 83 355, 095 56 4, 593 37 11, 661, 918 39 61, 433 09 331, 460 51 25, 671 48 12, 501, 926 23 •, W SILVER. Fine bars . 101," 739 26 $14, 889 86 $171, 379 07 11, 037, 682 10 11, 325, 690 29 O Mint bars 32, 476 69 32, 476 69 Standard bars.'. 87, 928 29 87, 928 29 H Unparted bars ^ 7, 712 09 13, 960 80 1,155 45 385, 277 90 184 36 408, 290 60 O Total silver ... 101, 739 26 14, 889 86 171, 379 07 7, 712 09 13, 960 80 11,158, 087 08 1,155 45 385, 277 90 184 36 11, 854, 385 87 izi Total gold and silver.. 163,493 09 14, 889 86 171, 379 07 362, 807 65 18, 554 17 22, 820, 005 47 62, 588 54 716, 738 41 25, 855 84 24, 356, 312 10 H

2< Iz5 O

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1878 IV.—De2JOsit8 of gold of domestic 2^yoduction during the fiscal year ended June 30, 1878,

Mints. Assay ofiices. Locality. Total. Philadelphia. S&ij Fran Carson. Denver. ifew Orleans. jSTew York. Boise. Helena. Charlotte. cisco.

Alabama $612 63 $1,150 97 $1,763 60 Alaska $3, 075 40 3, 075 40 Arizona $1, 397 64 180, 270 89 16, 035 92 197, 704 45 150 50 7, 921, 291 35 • 743,562 85 8, 663, 004 70 Colorado 21,152 52 $317, 859 23 2,149, 041 83 $65"32' 2, 488,118 90 103, 569 36 4, 768 85 13, 058 ,38 1, 698, 610 24 1, 820, 006 83 {xeor

Total 290, 541 92 38,184, 974 40 737, 719 85. 352,166 28 8, 092, 098 23 60,725 03 331, 460 51 25,437 54 48, 075,3.23 76

DEPOSITS AND PURCHASES OP SILVER. 244, 869 60 962. 87 " 245, 832 47 California ... - 146, 412 85 146, 412 35 94,037 95 7, 747 48 4,100, 958 49 65 4, 202, 744 .57 Idaho 59 52 44, 414 32 85, 839 36 272 03 80, 585 23 Lake Superior 2, 643 23 66, 669 04 69 312 27 24, 600 77 465, 869 69 381, 642 79 872,113 25 !Nevada 2,124, 064 20 5, 058, 098 80 2, 447, 279 59 2, 529, 766 86 12,159, 209 45 JsTew Mexico ' "365,169 10 365,169 10 iforth Carolina 141 69 141 69 Sonth Carolina 1 52 1 52 TJtah 29, 505 96 127, 983 16 1, 906, 756 95 2, 064, 246 07 to Jlefined bullion 6,118,858 78 6,118, 858 78 jParted from golcl 11, 886 62 74, 629 70' _ _ • 95, 490 ii ,,.. 182. 006 43

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IV.—Deposits of gold of domestic'2)roduction during the fiscal year ended June 30, 1878—Continued. GO

Mints. Assay offices. Locality. Total. San Fran Carson. ISTew Orleans. Helena. Philadelphia. cisco. Denver. jSTew York. Boise. Charlotte.

Contained in gold $4, 584 79 $1, 436' 83 $3, 635 11 $9, 656 73 $i, 270, 330 97 $1, 008, 574 92 . ^' 2, 278, 905 89 Total 3, 532, 528 45 12, 848, 442 40 $2, 447, 279 59 12, 332 27 $9, 567, 482 47 1, 708 86 385, 277 90 $143 86 • 28, 795,195 80

Total gold and silver 3, 823, 070 37 51, 033, 416 80 3,184, 999 44 364, 498 55 17, 659, 580 70 62, 433 89 716, 738 41 25, 581 40 76, 870, 319 56

O H O

H W

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DIRECTOR OF THE MINT. 269

-Gold and silver of domestic production deposited, at the mints and assay-offices from their organization to the close of the fiscal year ended June 30, 1878.

Locality. Gold. Silver. Total.

Alabama $217, 233 31 $217, 233 31 Alaska 22, 852 89 22, 852 89 Arizona 1, 935, 631 90 $586, 677 96 2, 522,30 9 86 Califbinia 686, 506, 692 69 1, 246, 962 77 687, 753,65 5 46 Colorado 20, 984,158 59 15, 846, 879 20 45, 831,03 7 79 Dakota 2, 289, 835 58 2, 289,83 5 58 Georgia 7, 527, 850 91 403 83 7, .528,2.5 4 74 Idaho - - 22, 815, 440 52 504, 938 83 23, 320,37 9 35 Iowa 192 58 468 00 660 58 Kansas , 950, 859 10 956, 859 10 Lake Superior 2, 524, 919 46 2, 524,91 9 46 Maryland 402 12 402 12 Massachusetts 917 56 917 56 Michigan 1,196 87 1, 196 87 Montana 45, 007,3.4 7 50 2, 004, 468 07 47, Oil,61 5 57 ISTebraska 46, 832 56 749, 730 71 796, 563 27 Nevada 12,3.08, 589 64 61, 208,123 45 73, 316,71 3 09 [New Hampshire 10, 299, 00 10, 299 00 ISTew Mexico 1, 388,67 2 01 1, 479,-469 64 2, 868,14 1 65 ISTorth. Carolina 10, 445,61 4 90 44, 885 02 10, 490,49 9 92 Oregon 14, 256,10 6 92 3, 232 12 14, 259,33 9 04 South Carolina :. 1, 384,55 0 24 4 45 1, 384,55 4 69 Tennessee 80, 565 99 80, 565 99 Utah .- 357, 484 95 '7,'387," 783'29' 7, 745,26 8 24 • Vennont 10, 800 41 10, 800 41 Virginia 1, 648,71 8 09 1, 648,73. 8 09 Wash in gton Territory 153, 051 71 1.53, 051 71 AVyoming Territory 672, 389 92 11, 793 86 684, 383 78 • Befined bullion....' 164, 249,.54 3 32 32, 979, 229 39 197, 228,77 2 71 Parted fiom silver 11,130, 710 89 11,130, 710 89 Contained in silver 9, 321,10 7 50 9, 321,10 7 50 Parted from, gold .'. 6, 407, 879 01 6, 407,87 9 01 512, 472 90 Contained in gold 512, 472 90 349 97 Other sources 10, 019, 658 90 4, 851, 691 07 14, 871, Total : 1, 034, 548, 994 64 138, 354,127- 46 1,172, 903,122 10

VL—Statement of coinage from the organization of the Mint to the close of the fiscal year ended June 30, 1878. GOLD COEN"AGE.

Period. Double-eagles. Eagles. Half-eagles. Quarter-eagles. Three dollars. Dollars.

3793 to 1795 $27, 950 $43, .535 ]796 69, 340 30, 980 $2, 407 50 1797 83, 230 18, 045 2,147 50 1798 79, 740 124,335 1,535 00 ' 1799 . 174,830 • 37,255 1, 200 00 1800 259, 650 58,110 1801 292, 540 130, 030 1802 • 150, 900 265, 880 6, 530 00 1803 89, 790 167, 530 1, 057 50 3 804 97, 950 152, 375 8, 317 5b 1805 -165, 915 4, 4.52 50 3806 320, 465 4, 040 00 1807 420, 465 17,030 00 1808 277, 890 6, 775 00 1809 169, 375 3830 .. 503 435 183 3 : 497, 905 1832 290, 435 3 83 3 477,140 "• 1834 77,270 1835 3,175 1816 1817 ... •- .. 3838 242, 940 1819 258, 615 1820 1, 319, 030 1821 173, 205 16,120 00 1822 - 88, 980 1823 72, 425 1824 86, 700 6, 500 00 1825 145, 300 11, 085 00

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270 REPORT ON THE FINANCES.

VI.—Statement of coinage from the organization of the Mint,

P'Criod. Double^eagles. Eagles. Half-eagles, Quarter-eagleSv Three dollars. Dollars.

1826. $90,345 $1,900 00 3827. 124 565 7, 000 00 1828. 140,145 .1829. 287, 210 8,507 1830. 631, 755 11, 350 3.831. 702, 970 11,300 3.832. 787, 435 11, 000 18.33. 968,150 10, 400 .1834. 3, 660, 845 203, 425 1835. 1, 857, 670 32.S, .505 1836. 2, 76.5, 735 1, 36a 965 1837. 1, 035, 605 112i 700 1838. $72, 000 1, 600, 285 137, 310 .1839. 382, 480 802, 745 3.Y0, 660 1840. 478,380 1, 048, 360 153, 562 1841. 656,330 380, 725 54, 562 .1842. 1, 089, 070 655, 330 89, 770 1843. 2, 506, 240 4, 275, 425 • 1, 827,132 1844. 1, 250, 610 4, 088, 275 89, 345 1845.. 736, 530 2, 743, 640 276, 277 1846.. 1, 018, 750 2, 736,155 279, 272 1847.. 14, 337, 640 5, 401, 685 482, 060 1848-. 1, 83.3, 340 1, 863, 560 98, 612 3.840.. 0, 775, ISO 1,184, 645 111, 147 $936, 789 1850.. 5$26, 225, 220 3, 489, 510 860,160 895, 547 511, 301 3,851.. 48, 043,100 4, 393, 280 2, 6.51, 955 3, 867, 337 3, 658, 820 3852-. 44, 860, 520 2, 811, 060 3, 689, 635 3, 283, 827 2, 201,145 3.853.. 26, 646, 520 2, 522, 530 2, 305, 095 3, 519. 615 4, 384,149 18.54-. 15, 052, 340 2, 305, 760 1, 513,195 1, 890, 397 $491, 214 1, 657, 012 1855-. 24, 636, 820 3,487,010 1, 257, 090 600, 700 171, 465 824, 883 3.8.56.. 30, 277, 560 1, 484, 900 1, 751, 665 1, 213,117 . 181, 530 1, 788, 996 3.857.. 14, 056, 300 129,160 673, 610 320, 465 38, 496 593, 532 1858.. 28, 038, 880 629, 900 772, 775 515, 632 66,177 280, 361 3.859.. 16, 236, 720 146, 000 400, 710 213, 010 34, .572 259, 065 I860.. 15, 458, 800 342,3.30 361,145 128, 980 61, 206 93, 215 1861-. 59, 316, 420 552, 050 452, 590 338, 440 3.8, 216 15, 521 1802-. 36, 247, 500 972, 990 3, 287,160 3, 208,122 17, 355 1, 799, 259 .1863-. 20, 387, 720 126, 580 117, 010 62, 475 117 1, 950 1864-. 23., 465, 640 85, 800 51, 500 23,185 16, 470 '6, 750 1865-. 24, 879, 600 93, 750 86, 075 30, .502 10, 065 7, 225 1806.. 27, 494, 900 376,100 300, 750 122, 975 12, 090 7,130, 1867.. 5, 225 1868.. 27, 925, 400 51,150 1.54, 475 73, 062 7, 875 1869-. 17, 705, 800 155, 500 153, 750 74,125 14, 700 10, 550 1870.. 21, 270, 500 209, 850 228, 925 105, 862 7,575 5, 925 1871.. 22, 018, 480 89,130 94, 625 35,137 10, 605 9,335 1872.. 20, 919, 240 163, 250 158, 625 53, 400 4, 020 3,940 .3.873.. 19, 798, 500 254, 600 243, 700 72, 575 6,090 1,030 1874.. 34, 765, 500 204, 650 237, 525 39, 062 75 2, 525 3.875-. 48, 283, 900 383,480 809, 780 536,150 125, 460 323, 920 1876-. 32, 748,3.40 599, 840 203, 655 2,250 60 20 1877.. 37, 896, 720 153, 610 71, 800 53, 0.52 135 8,645 1878.. 43, 941, 700 56, 200 67, 835 5, 780 4,464 2, 220 51, 406, 340 155, 490 688, 680 137, 850 408, 900 1, 720

Total. 861, 004, 780 56, 862, 710 70,101, 495 26, 933, 600 00 1; 708, 932 19, 346,158

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1878 VI.—statement of coinage from the organization of the Mint, cfc.—Contluued.

Period. Trade-dollars. Dollars. Half-dollars. Quarter-dollars. Twenty-cents Dimes. Half-dimes. Three-cents.

$204,791 $161, 572 00 $4, 320 80 72, 920 1, 959 00 . $1,473 50 $2., 213 50 511 50 7,776 63 00 2, .526 10 2, 226 35 327, 536 2, 755 00 4*^3 535 220, 920 2,176 00 - 1,200 00 54,454 15,144 50 3,464 00 1,695 50 41, 650 14, 945 00 1, 097 50 650 50 66, 064 15, 857 50 3, 304 00 1,892 50 19, 570 78, 259 50 1, 684 50 826 50 321 105,861 00 30,348 50 12, 078 00 780 00 419, 788 00 51, 531 00 525, 788 00 55,160 75 16, 500 00 684, 300 00 o 702, 905 00 4,471 00 . 638,138 00 635 50 601, 822 00 6, 518 00 to 814, 029 50 620,951 50 519, 537 50 42,150 00 17,308 00 23, .575 00 5, 000 75 607,783 50 980,161 00 90, 293 50 1,104, 000 00 36, 000 00- 375, 561 00 31, 861 00 94, 258 70 652, 898 50 54, 212 75 118, 651 20 779, 786 50 16,020 00 10, 000 00 iz! 847,100 00 4,450 00 44,000 00 1, 752, 477 00 1, 471, .583 00 42, 000 00 51, 000 00 \ 2,002,090 00 2, 746, 700 00 1,000 00 121, 500 00 -1,537,600 00 - 2.5; 500 00 -12,500 00 1, 8.56, 078 00 77,000 00 6i,".5o6'o6 2, 382, 400 00 51, 000 00 62, 000 00 2, 936, 830 00 99, .500 00 77,135 00 62,135 00 2, 398, 500 00 80,000 00 52, 250 00 48, 250 00 2, 603, 000 00 39, 000 00 48, 500 00 68, 500 00 3, 206, 002 00 71, 500 00 63, .500 00- 74,000 00 2, 676, 003 00 488, 000 4)0 143 000 00 1SR 000 00 1, 00.0 3, 273,100 00 118 000 00 , 139,000 00 9.5,000 00 3,83.4, 93.0 00 63,100 00 - 1047'200 00 113,800 00 to 1, 773, 000 00 208, 000 00 239, 493 00 112, 750 00 1839 - -1 366 1, 717, 280 50 12-2, 786 50 " 229, 471 50 106,457 50

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VL—Statement of coinage from the organization of the Mint, cfc—'Continued. to

lN3

Period. Trade-dollars. DoUars. Half-doUars. Quarter-dollars. Twenty'cents. Dimes. Half-dimes. Three-cents.

1840 $61, 005 $1,145, 054 00 $1.53, 331 75 $2-53, 358 00 $113, 9.54 25 3841 173, 000 3.5.5, .500 00 143, 000 00 363, 000 00 98,250 00 1842 184, 618 1, 484, 882 00 214, 250 00 390, 750 00 58, 2.50 00 1843 165,100 3, 0.56, 000 00 403, 400 00 152, 000 00 58, 250 00 1844 20, 000 1, 885, 500 00 290, 300 00 7, 250 00 32, 500 00 ]845 24, 500 1, 341, 500 00 230, 500 00 198, 500 00 78, 200 00 1846 169, 600 2, 257, 000 00 127,500 00 3,130 00 1, 350 00 1847 • . ....:. 140, 750 1,870,000 00 280, 500 00 24, 500 00 63, 700 00 1848 1.5, 000 1, 880, 000 00 36, 500 00 45,150 00 63, 400 00 1849 62, 600 1, 781, 000 00 - 85, 000 00 113, 900 00 72, 450 00 ]8.50 47, 500 1, 341, 500 00 150, 700 00 244,150 00 82, 2.50 00 he) 18,51 1,300 301, 375 00 62, 000 00 142. 650 00 82, 050 00 $185, 022 00 O 3 8-52 1,100 110, 565 00 68, 265 00- 196, 5.5.0 00 63, 025 00 559, 905 00 1853 46,110 2, 430, 3.54 00 4,146, 555 00 1, 32-7, 301 00 785, 251 00 342,000 00 1854 33,140 4, 111, 000 00 3, 466, 000 00 -624, 000 00 36.5, 000 00 20,130 00 1855 -- • . ... 26, 000 2, 284, 725 00 861, 350 00 207,500 00 317, .500 00 4,170 00 O ]8.56 .. - 63, 500 1, 903, 500 00 2,129, 500 00 696, 000 00 299, 000 00 43, 740 00 18.57 94, 000 114, 000 00 - 583, 000 00 489, 000 00 197, 000 00 18,58 .. 4, 430, 000 00 3, 019, 7,50 00 226, 000 00 327, 000 00 37, 980 00 H 1859 288, 500 4, 005, 500 00 1, 428, 000 00 229, 000 00 195, 000 00 41 400 00 I860 . • 600, .530 1, 627, 400 00 330, 450 00 98, 600 00 96, 500 00 16,440 00 W 1861.-•- • 559, 900 959, 650 00 771, 550 00 167, 300 00 139, 350 00 7, 950 00 3 862 1, 7.50 1, 785, 425 00 730, 937 50 158, 405 00 117, 627 50 IS, 256 50 1863 . 31, 400 983, 630 00 113, 965 00 34, 071 00 8, 223 00 2, 803 80 1864 23,170 483,985 00 22, 492 50 14. 037 00 4, 518 50 11 10 *^ 1865 •-. 32, 900 5.53,100 00 27, 650 00 17,160 00 4, 880 00 618 00 >- 3 866 • 58, 550 579, 525 00 9, 712 50 21, 065 00 10, 732 50 679 50 1867... -• .57, 000 897, 450 00 18,175 00 13, 670 00 435 00 141 00 o 1868 54, 800 946, 750 00 37, 475 00 73, 315 00 24, 290 00 120 00 w 3869 : 231, 350 561, 675 00 23,137 50 • 23, 905 00 527 50 151 50 1870 - . 588, 308 1, 009, 375 00 23, 047 50 98,185 00 48, 222 50 115 50 1871 6.57, 929 1, 242, 771 00 29, 971 75 10, 707 50 14, 396 25 129 75 1872 1,112, "961 1, 486, 492 50 55, 096 25 222, 471 50 1.52, 751 75 61 05 1873 • 977,150 1,199, 775 00 174, 362 50 419, 040 00 175,442 50 25 50 1874 : $3, 588, 900 1, 438, 930 00 4,58, 515 50 497, 255 80 1875 5, 697, 500 2, 853, 500 00 623, 950 00 $5, 858 00 889, .560 00 1876 6,132, 050 4, 985, 525 00 4,106, 262 .50 263, 560 00 3, 639,105 00 3 877 9,162, 900 9, 746, 350 00 7, .584,175 00 1, 440 00 2, 05.5, 070 00 1878 • 11, 378, 010 8, 573, 500 3, 875, 255 00 3,703,027 50 142 00 760,891 00

Total 35, 959, 360 16, 619,-338 122, 744, 795 50 38, 477,149 00 271, 000 00 16, 902, 677 30 4, 906, 946 90 • 1, 281, 850 20

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1878 VI.—Statement of coinage from the organization of the Mint, fc.—^Continued.

Minor coinage. Total coinage. M GO Period. Eive-cents. Three-cents. Two-cents. Cents. Half-cents. Gold. Silver. Minor. Total.

1793 to 1795 $10, 660 33 $712 67 $71, 485 00 $370 68.q 80 $13,.373 00 $453, 541 80 3796 9, 747 00 577 40 102, 727 50 79 077 50 10, 324 40 192,129 40 1797 8, 975 10 535 24 103, 42-2 50 12 591 45 9, 510 34 125, 524 29 1798 9, 797 00 2-05, 63.0 00 330 291 00 9, 797 00 •545 098 00 1799 9, 045 85 66'83" 213, 285 00 423 .515 00 9,106 68 645, 906 68 3800 28, 221 75 1, 057 65 317,760 00 22-4 296 00 29, 279 40 571 335 40 3801 13, 628 37 422, 570 00 ^•t4 758 00 13, 628 37 510,956 37 1802 34, 351 00 71 83 423, 310 00 58 343 00 34,422 83 516,075 83 1803 24,73.3 53 489 50 2.58, 377 50 •87 118 00 25, 203 03 370 698 53 1804 . .. 7, 568 38 5, 276 56 258, 642 50 100 340 50 12, 844 94 37l'827 94 1805 9, 411 16 4, 072 32 3.70, 367 50 149 388 50 . 13, 483 48 333, 239 48 o 1806 3, 480 00 1, 780 00 324, 505 00 471 319 00 5, 260 00 801 084 00 1807 -. 7, 272 21 2, 380 00 437, 495 00 597 448 75 9, 652 21 1, 044, 595 96 1808 11, 090 00 2, 000 00 284, 665 00 684 300 00 13, 090 00 982, 055 00 1809 2, 228 67 5, 772 86 169, 375 00 707 376 00 8, 001 53 884, 752 53 1810 14, 585 00 1, 075 00 501, 435 00 638 773 50 15, 660 00 1 3,55 868 50 o 1831 2,180 25 315 70 497, 905 00 608 340 00 2, 495 95 1,108, 740 95 1812 10, 755 00 290, 435 00 814 029 .50 10, 755 00 3 115 239 50 1813 4,180 00 477,140 00 620 951 50 4,180 00 1, 3 0'->- 271 50 3814 3, 578 30 77,270 00 561 687 50 3, 578 30 64^?- 535 80 3815 3,175 00 17 308 00 20, 483 00 1816 28, 209 82 28 575 75 ."28, 209 82 56, 785 ,57 3817 : 39, 484 00 607 783 50 39,-484 00 647, 267 50 1838 33,670 00 242, 940 00 1,070 454 50 31, 670 00 1 345 064 50 1819 ...-. 26, 710 00 2,58, 615 00 1,140 000 00 26,710 00 1,425, 325 00 ^ 1820 44, 075 50 1, 319, 030 00 501 080 70 44,075 50 3,864 786 20 3 821 3, 890 00 189, 325 00 825 762 45 3, 890 00 1 018 977 45 H 1822 20,723 39 88,980 00 805 806 50 20, 723 39 93 5 509 89 1823 - . 72, 425 00 895 550 00 967 975 00 1824 -... 12, 620 00 93, 200 00 1. 7.52 477 00 12, 620 00 1, 8,58, 2-97 00 18'^5 14, 611 00 315 00 156, 385 00 1, 564 .583 00 14, 926 00 1,73.5,894 00 1826 ... . 15,174 25 1,170 00 92, 245 00 2, 002 090 00 16, 344 25 2 110 679 ''5 IS'^J 23, .577 32 131, .565 00 2,869 200 00 23, 577 32 3, 024, 342 32 1828 .... 22, 606 24 3,030 00 140,145 00 1, 575 600 00 25,636 24 1 741 381 ^4 18'^9 3.4,145 00 2,435 00 295, 717 50 1,994 578 00 16, 580 00 2, 306. 875 50 1830 . 17,115 00 643,105 00 2,495 400 00 3.7,115 00 3 155 6^0 00 1831 33, .592 60 11 00 714, 2-70 00 3,175 600 00 33, 603 60 3,923,473 60 3832 • 23, 620 00 ' 798,435 00 2, 579 000 00 23,620 00 3, 401, 055 00 1833 27, 390 00 770 00 978, 5.50 00 2, 759 000 00 28,160 00 3 765 730 00 3 834 38, .551 00 600 00 3, 954, 2-70 00 3, 415 002 00 19,151 00 7, 388, 423 00 1835 38, 784 00 705 00 2,186,175 00 3,443 003 00 39, 489 00 5 668 667 00 1836 ' '.. 21,110 00 1, 990 00 4,135, 700 00 " 3,606 100 00 23,100 00 7, 764' 900 00

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1878

VI.—Statement of coinage from the organization of the Mint, fc.—Continued. to

Minor coinage. Total coinage. Period. Five-cents. Three-cents. Two-cents. Cents. Half-cents. Gold. Silver. MiQor. Total.

1837. $55, 583 00 ,148,305 00 010 00 ,583 00 $3, 299, 898 00 1838. 63, 702 00 , 809, .595 00 2, 333,24 3 00 63,,70 2 00 4, 206,.54 0 00 1839. 33,286 61 , 355, 885 00 2,176, 2-96 00 31,,28 6 61 3, 503.46 7 61 1840. 24, 627 00 , 675, 302 50 3,726, 703 00 24,,62 7 00 3, 426;63 2 50 1841. 15, 973 67 ,091, 597 50 1,132, 7.50 00 15,,97 3 07 2, 240, 321 17 1842 . 23, 833 90 , 834,170 00 2, 332,75 0 00 23,,83 3 90 4,190, 753 90 3.843 . 24, 283 20 ,108, 797 50 3,834, 750 00 24,,28 3 20 11, 967 830 70 1844. 23, 987 52 , 428, 230 00 2, 235,55 0 00 23,,98 7 52 7, 687,76 7 52 1845 . 38, 948 04 , 756, 447 50 1, 873, 200 00 38,,94 8 04 5, 668, 595 54 1846. 43,208 00 034,177 50 2, 558,58 0 00 41,,20 8 00 6, 633,96 5 50 1847. 61, 836 69 221, 385 00 2, 379,4,5 0 00 61,,83 6 69 22, 662, 671 69 1848. 64,157 99 775, 512 50 2, 040, 050 00 64,, 1,57 99 5, 879,72 0 49 1849. 41, 785 00 $199 32 ,007, 761 50 2,114, 950 00 41, 984 32 11,164, 695 82 1850. 44, 268 44 199 06 , 981, 738 50 1, 866,10 0 00 44, 467 50 33, 892, .306 00 1851. 98, 897 07 738 36 ,634,492 .50 774, 397 00 99, 635 43 63,488, 524 93 1852. 50,630 94 846,187 50 999, 410 00 50, 630 94 57. 896,22 8 44 1853. 66, 411 31 648 47 377,909 00 9, 077,.57 1 00 67, 059 78 48, 522,53 9 78 1854. 42, 361 56 276 79 915, 93 8 50 8, 619,27 0 00 42,,63 8 35 34, 577,82 6 85 1855 . 15, 748 29 282 50 977, 968 00 3, 501,24 5 00 16, 030 79 32,495, 243 79 1856. 26, 904 63 202 15 697,768 50 5,1.3.5, 240 00 27,.10 6 78 41, 860, 115 28 1857. 63, 334 56 175 90 811, 563 00 1, 477,00 0 00 63,,51 0 46 17, 3.52, 073 46 1858. 234, 000 00 253, 725 50 8, 040,73 0 00 234, 000 00 38, 528, 455 50 1859 . 307,000 00 296, 077 00 6,187, 400 00 307, 000 00 23, 790. 477 00 1860. 342, 000 00 445, 476 00 2, 769, 920 00 342, 000 00 19, 5.57,39 6 00 1861. 101, 660 00 693, 237 00 2, 605,70 0 00 101, 660 00 63, 400, 597 00 1862 . 116, 000 00 .532, 386 50 2,832, 401 50 116, 000 00 48,460, 788 00 1863. 478, 450 00 695, 852 00 1,174, 092 80 478, 450 00 22, 348, 394 80 1864. $36,450 00 427, 350 00 649,345 00 548, 214 10 463, 800 00 22, 663 359 10 1865. $105, 930 535, 600 00 541, 800 00 107, 217 50 636, 308 00 1,183, 330 00 26, 926, 855 50 1866. 240 00 270, 270 122, 980 00 187, 080 00 33.3, 945 00 680, 264 50 646, ,570 00 29, 640,77 9 50 1867 . 1, 562,50 0 00 133, 410 69,880 00 113, 750 00 217,187 50 986, 871 00 1, 879,54 0 00 31, 083, 598 50 • 1868. 3,44.5, 100 00 108, 390 61, 330 00 98, 565 00 114, 425 00 1,136, 750 00 1, 713,38 5 00 20,.964, 560 00 1869. 1,101, 250 00 64, 380 34. 615 00 78, 810 00 828, 637 50 840, 746 50 1, 279,0.5 5 00 23, 948,43 9 00 1870. 487, 500 00 42, 690 22,890 00 58, 365 00 2.57. 312 50 1, 767,25 3 50 611, 445 00 24, 636 Oil 00 1871. 171, 950 00 27, 630 22,105 00 62, 075 00 302, 475 00 1, 955, 905 25 283, 760 00 23, 542, 140 25 1872. 89, 200 00 18, 330 6,170 00 9, 320 00 ,376, 495 00 3, 029, 8,34 05 123,,02 0 00 23, .529,34 9 05 1873. 352, 400 00 34, 320 107,330 00 249, 337 50 2, 945,79 5 D'' 494, 050 00 38, 689,18 3 00 1874. 244, 350 00 29,640 137, 935 00 442, 690 00 5, 983,60 1 30 411, 925 00 56, 838, 216 30 1875 . 94, 650 00 12, .540 123,185 00 553, 965 00 10, 070,.36 8 00 230, 375 00 43, 854,70 8 00 1876. 132, 700 00 7,560 120, 090 00 178, 962 50 19,126, 502 50 260,,3.5 0 00- 57, 565,81 5 00 1877. •25, 250 00 36, 915 00 078,199 00 28, 549,93 5 00 62, 165 00 72, 690, 299 00 1878. 80 00 48 00 30, 566 00 798, 980 00 28, 290,82 5 50 30, 694 00 81,120, 499 50

Digitized for FRASERTotal . 5, 773, .3.70 00 855,138 00 912, 020 00 5, 33.5,143 44 39, 920 11 1, 035, 958, 675 00 237,163,3.16 90- 12, 91.5, 397 55 1,286, 037,189 45 http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1878

DIEECTOE OF THE MINT. 275'

VII.—Coinage and medal dies manufactured at the United States mint at Philadel2}hia during the fiscal year ended Jime 30, 1878. I

Denomination. Philadel San Fran Carson. Total. phia. cisco.

For gold coinage: Double-eagle 58 46 50 154 Eagle 2 12 10 24 Ha If-eagle. 7 8 6 21 Three-dollar ...... 1 2 3 • Quarter-eagle .- 6 8 14 One-dollar .. ... 59 59

Total : 133 76 66 275 For silver coinage: Standard dollar 92 192 100 384 Trade-dollar ' . .^. 32 225 92 349 Half-dollar 92 85 56 233 Quarter-dollar 87 28 . 56 171 Dime . ... 41 46 60 147

Total 344 576 364 1,284

For minor coinage: Five-cent 5 5 Three-cent 4 4 One-cent 45 45

Total 54 54

Total coinage dies 531 652 430 1, 613

Total number of dies. Gold coinage o 275 Silver coinage 1, 284 Minor coinage ^ 54 Experimental dies : r .' - -. 23 Specimen dies 18 Valley Forge Centennial 2 President Hayes ^ 2 Life-saving medal 2 McDonongli's victory (rei^rodnction) : - 2 Annual assay 1 Total : 1,663

VIIL- -Medals manufactured atthe United States mint at Fhiladel2)hia during the fiscal year ended June 30, 1878.

Name. Gold. Silver. Bronze.

• American University : Adams Academy.- — Amidon Aiuerican Pomological Society Allegiance — Adariis, John Q Baltimore Female College (large).: Baltimore Female College (small) . BroAvn Memorial Bnohanan, James 10 Bell 50 Brown, General 2 Centennial award 122 Cabinet Commencement of cabinet Carney Choate Coinage, First steam 10 Dodd, H. M Denraan School Elliott Fi-anlvlin School Field, C. AY

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276 REPORT ON THE FINANCES.

VlII.—Medals manufactured at the United States Mint at Philadelphia, (fc.—Continued.

ISTame. Gold. Silver.

Georgetown College Hosacl\, Dr Horn, John Hayes, President •...-.., Jeiierson Agricultural Society Jones, Ca]3tain '. Jelferson, Tliomas -.. Jackson, Andrew Jaclcson, General Ketchurn, Jesse Kniglit Temi^lar Life-saving (first class) Life-savinsi (second class) Lambert Pliotographic Lincoln Scliool,^San FranCisco Lee, Colonel '.. Lincohi and Grant Lincoln br(.»lcen column Micliigan State Agricultural Society Middlesex: Soutliern AgTicultural Society , .Miexican medals (Vetei'an Association) .. M.'etls McKce Female College MacDonough, Captain ISTorman irrational Dog vShoAv : 'New England Agi.icnltni;al Society Ntiw Hampshire Agricultural Society Philadelphia College of Pharmacy ..' Peabody, Geor-ge Pi-esidency reliriquished , Pennsylvania State Agricultural Society Pacific liailroad • ' Pierce, Fianl

Total . 784

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DIEECTOE OF THE MINT. 277

IX.—Medals and proof-sets of United States coins sold during the fiscal year ended June 30, i878.

ISTnmber Description. sold. Value.

MEDALS. Gold medals 42 .$3 437 00 820 2, 305 77 Bronze medals 2, 869 3, 000 75 Total 3,731 6,743 52 PROOr-SETS. Gold proof-set.s 20 860 00 Silver xiroof-sets - •- •- 811 2, 635 75 Total 831 3, 495 75

X.—Minor coins redeemed, reissued, exchanqed, and melted during the fiscal year ended June 30, 1878.

Denomination. Pieces. Value.

REDEEMED. Copper, one-cent pieces 239,360 $2, 393 60 i^ickel, oncvcent pieces '. 2, 280, 434 22, 804 34 "- Bronze, one-cent pieces 9, 632,192 96, 321 92 Bronze, two-cent pieces 880, 748 17, 634 96 I^Iickel, three-cent pieces 1, 414, 258 42,427 74 ^Nickel, five-cent pieces 5, 711, 602 285, 580 10- Total 20,158, 594 467,142 60

• REISSUED. Bronze, one-cent pieces : 9, 745, 500 97, 455 00 599,000 17, 970 00 !Nickel, three-cent pieces 7, 261, 800 363, 090 00 3Srickel, five-cent i3ieces 17,606,300 478, 515 00 Total

EXCHANGED, 1 01 IS'ickel, one-cent pieces 1,695 50 85 5,366 208 30 IN'ickel, three-cent pieces iNickel, five-cent pieces 7, 062 Total 274, 000 2,740 00 MELTED, 363, 000 7, 260 00 Bronze, one-cent pieces (mutilated) Bronze, two-cent iDiecet^ Total :

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278 REPORT ON THE FINANCES.

XL—Statement of im2Jorts and exports of gold and silver during the fiscal year ended June 30, 1878 {from monthly returns of the Bureau of Statistics).

IMPORTS.

Gold. Silver. Ports. Bullion. Coin. Bullion, Coin.

NEW YORK.

July 3.877 $34, 515 $115, 264 $10,132 $184,'571 August, 1877 27,196 742, 622 . 4, 606 121, 981 September, 3877 . 25, 989 2, 665, 232 5, 545 253, 833 October, 1877 .... 12, 437 706, 275 28, 269 123,177 TSTovember, 3877. 372, 570 719, 775 12, 631 522, 808 December, 1877 ., 14, 425 615, 252 198, 767 January, 3.878.... 10, 202 406, 331 6, 019 402, 762 February, 1878 .. 500, 647 2,184, 841 5, 261 168, 002 •March, 1878 9,500 55, 855 980, 785 522, .526 April, 1878 18, 071 87, 626 4, 259, 911 962, 069 May, 3.878.. 14, 267 605, 420 27,116 774, 334 June, 1878 .'. 24, 591 553, 434 8,930 275, 718

Total. 1, 064, 410 9, 457, 927 , 349, 205 4, 510, 548

SAN FRANCISCO.

July, 1877 84, 507 5, 300 109, 375 204, 671 August, 1877 95, 73.8 51, 231 171, 587 350, 671 September, 1877 . 1.57, 934 136, 6.54 303, 565 October, 1877 .... 146, 639 9,150 198, 277 219, 426 November, 3.877.. 236,962 28, 935 36, 980 201, 484 • December, 1877 ., 86, 448 5, 340 122, 282 385,144 'January, 1878..., 25, 098 45, 354 110, 215 270, 271 February, 1878 ., 14, 517 29, 525 195, 367 218, 818 March, 3878 56, 442 80, 093 301, 537 April, 1878 , 40, 218 27, 841 63, 400 451, 941 May, 1878 ..., 49, 919 155,178 304, 830 June, 1878 , 65, 427 39, 800 32, 632 Total. 888, 041 374, 464 1, 419, 208 , 244, 990

ALL OTHER PORTS.

July, 3.877 3,914 • 65, 884 26, 257 163, 425 August, 1877 ... 37, 350 13, 406 25, 775 September, 1877. 1,322 9,967 39, 573 240, 768 October, 1877.... 241, 738 1,113 31, 292 ISTovember, 1877. 800 38, 477 641 94,. 020 December, 1877 . 4,766 13, 820 34, 420 389,601 January, 1878... 50 325, 574 1,766 187, 322 February- 1878.. 704 347, 739 525 24,165 March, 3.878 1,921 72,174 4,666 102,188 April, 3.878...... 69, 465 10, 475 27.5, 830 May, 3.878 1,000 198,173 154, 931 June, 1878 5,734 105, 301 70, 594 273, 895

Total. 20, 211 1, 525, 662 203, 436 1, 763, 212

Total imports.. 1, 972, 662 11, 358, 053 6, 971, 849

EXPORTS (FOEEIGI!?").

NEW YORK.

July, 1877...... 31, 830 86, 847 Auaust, 1877...- 139, 715 10, 284 50, 304 September, 3.877. 315, 800 23, 656 58, 964 October, 1877 ... 131, 755 11, 270 3,462 I^ov ember, 1877. 1,200 7,480 156, 491 Decembei', 1877 . 34,100 25, 000 115, 473 January, 1878... 75, 959 5,110 110, ,572 February, 1878.. 11.5, 520 9,345 43. 350 March, 3.878 801, 029 218, 497 April, 1878 672, 489 .8,210 111, 892 May, 1878 • 108, 274 2.5, 040 93, 215 June, 1878 109, 607 8,017 356, 916

Total. 3,200 2,023,558 125, 932 1, 405, 983

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DIEECTOE OF THE MINT. 279

IX.—Statement of imports and exports of gold and silver—Continned. EXPORTS (FOREIGlS^).

Gold. Silver. Ports. Total. BulUon. Coin. Bullion. Coin.

SAN FRANCISCO. - July 1877 . . . .."... $20, 020 $145, 065 $165, 085 August, 1877 $139,153 49, 070 188, 223 September 3 877 48, 240 397, 535 445, 775 October 3877 21, 050 149, 842 370, 892 UsTov ember, 1877 : 158,188 43, 762 203, 9.50 December 3877 72, 751 153,127 225, 878 January, 3 878 : 31, 627 299, 490 333,117 February 1878 ••. 224,986 32, 73.7 2.57, 703 March 3878 . . ... 39, .043 99, 626 138, 669 Axnil, 3 878 32, 018 2.57, 616 289, 634 May, 1878.'. $250 237,056 • 237,306 June 1878 60 390 463,492 Total : 250 543, 377 429, 638 2,142, 459 3,115,724

ALL OTHER PORTS.

July 1877 108 1,771 1,879 August 3 877 .. Septemijei', 3 877 October, 1877 .". [November 3877 December 1877 Januar V, 1878 February 3878 . . 900 900 March, 3878 492 492 April, 3878' 2, 000 2,000 May 1878 June, 1878 ^ 572 572 Total 3,500 2, 343 5,843

Total exports (forei*^*"n) . • .. 1,450 2, 570, 435 555, 570 3, 550, 785 6, 678, 240

EXPORTS (DOMESTIC).

Gold. Silver. Ports. Total. Bullion. Coin. Bullion. Trade Fractional. dollars.

July, 1877 $669,170 $386, 700 $396, 500 $17, 600 $1, 469, 970 August, 1877 .... 32, 500 405, 000 137, 000 16, 000 590, 500 September, 1877 . 86, 509 370, 260 20, 000 18,100 494, 869 O.ctober, 1877 .... 35, 411 768, 399 1, 000 804, 810 November, 1877 . 10, 700 440, 800 • 18, 895 470, 395 December, 1877.. 41, 506 876, 089 7, 235 924, 830 January, 1878 $22,031. 122, 000 1, 089, 309 5, 200 1, 300, 040 February, 1878 .. 37,165 40, 034 407, 375 484, 574 March, 1878 5, 003 1, 769, 316 210, 466 , 50 1, 984, 835 April, 1878 87, 216 1, 937, 696 119, 608 193, 843 2, 338, 363 M.ay, 3.878 30, 428 407, 200 151, 275 0, 350 595, 253 June, 1878 52, 549 119, 610 'i28,'i72 600 300, 931 Total. 5, 204, 591 5, 344, 891 91, 030 11, 759, 370

SAN PR^ysrCISCO. July 1877 4,735 29, 497 1, 727, .529 933, 602 2, 695, 453 August, 1877 .... 445 18, 617 635, 7.54 401,3.76 1, 055, 992 September,. 1877 . 4,430 13, 962 1, 014, 074 609, 768 1, 642, 234 October, 1877 .... 1,890 55, 442 412, 500 381, 658 12, 081 863, 571 November, 3.877 . 3,120 26, 514 .57, 6.54 487,177 574, 465 December, 1877.. 6,317 51,117 12, 872 531, 301 10, 000 611, 607 .January, 1878 ... 229 8,530 1, 568, 964 33.9, 737 14, .549 1, 912, 009 Februarv, 1878 .. 22, 690 226, 589 101, 761 40, 250 391, 290 March, 1878 39, 767 • 53,725 131, 250 9,180 233, 922 April, 3.878 900 42, 403 72, 666 96, 992 15, 000 227, 961 May, 1878 6 030 2, 001, 580 85, 300 2, 092, 916 Juiie, 1878 'i,'4i6' 97, 413 1, 906, 247 149,173 2,154, 243 Total. 23, 476 411,982 9, 690,154 4, 228, 991 14, 455, 663

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280 REPORT ON THE FINANCES.

XL—Statement of im2)orts and ex2yorts of gold and silve)'—Continned.

EXPORTS (DOMESTIC)—Continued.

Gold. Silver. Ports. Total. Trade Coin. BuUion. Fractional. BulUon. doUars.

ALL OTHER PORTS. °

July 3877 $27,000 $5, 500 $32, 500 Au'nist, 3877 12, 365 6, 500 18, 865 September 1877 101, 850 463 102, 313 October, 1877 2.5, 000 202 25, 202 !No\^ember 1877 152, 640 233 152, 873 December 3877 2,138 .871 3, 009 JanuarV, 3878 . 400 18, .547 18, 947 February 3878 212 212 Mai'ch 1878 14, '972 • 257 3.5,229 April, 1878 360, 713; 560 363, 273 May, 3878 : 1, 079 1,079 June '1878 106, 700 , 1,750 108, 450

Total 803,.778 36,174 839, 952

Total exports (domestic)^.... $205, 319 6, 420, 351 $15, 035, 045 $5,166, 006 228,264 27, 054, 985

XII.—Weekly fiuctuations in the gold value of fine bar-silver, cfc, during tlie fiscal year ended June 30, 187,8 (2^re2Htred from quotations furnisiied by Pixley cj- Abell, London).

rS 'vi Û " y t> ^ .: d ^;::! |MS^ a P . ô m1 Q ^B n3 1•n 1r-J o Pi ^3 siS Daie. §1 o 0 CD. §^ ^2 oP2 gl 3 izj bX) 1> ® mp< PH O • >%^^ r- S^ c>3 "-r! c3 =H PH fM Ci)"^ ^ 1877. Pence. Cents. July 5 , ^H. $1 18.10 91. 34 1 to 3.7. 50 July 12 .. 54 ' 1 38.37 91. 55 17.46 Ju 1 y 3.9 54.§ 1 3.9.3.9 93.19 17.34 July 26 54.i 1 38. 92 91. 98 17. 38 Aiuûst 2 ..... 54^1 1 3.8. 64 91.76 17.42 August 9 . . 54^ 1 3.8.. 92 91. 98 17.38 A u iiu s t 3.6 :.... 1 18. 64 91.76 17.42 Auf''nst 23 1 18. 64 91. 76 17.42 August 30 54| 1 3.8. 92 91.98 17.38 544 1 38 92 93 98 17 38 September 13 , •. 54^ 1 18. 92 91.88 17.38 September 20 : 54^- 1 19.19 92.19 17.34 September 27 • 54$ • 1 20. 01 92.82 17.22 October 4 1 21. 66 94.10 16.99 October 11 54§ 1 20. 01 92. 82 17.22 October 18 54f 1 20. 01 92.82 17. 22 October 25 '. 55-g 1 21. 38 93.88 17.02 November 1 5D 1 20. 56 93. 25 17.14 November 8 55 1 20. 56 93. 25 37.14 November 3 5 : 54^ 1 18. 92 91.98 17.38 November 22 .• 54A 1 18. 92 91. 98 17.38 November 29 " 54 1 18. 37 91. 55 17.46 December 6 54i 1 18. 92 91.98 17.38 December 3.3 1 17. 82 91.12 17.54 December 20 .. . . . 54 1 1.8. 37 91. 55 17.46 December 27 .. . 54 1 18. 37 . 91. 55 17.46

1878. Januarys 53i 1 17. 82 91.12 17.54. January 3.0 54 1 18. 37 91. 55 17.46 January 17 535 1 17. 82 91.12 17.54

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DIEECTOE OF THE MINT. 281

XII.—Weekly fiuctuations in the gold value of fine bar-silver, ^-c.—Continned. Is ' . 1^ • cccpl

Date. o 1 Is State s gol d coin . > taine d i n TJnite State s doUa r o f 412 ^ giains . 1 Gol d valu e o f th silve r con • Pric e pe r ounc fin i n TJnite d 1878. Pence. Cents. Fanuary 24 53f $1 17. 55 90. 92 1 to 17. 58 ranuary 31 54 3 18.37 93..55 17.46 February 7 54 1 18. 37 91. 55 17. 46 ^^ebruary 14 1 • ... 535 1 38.10 91. 34 17.50 ^'ebruai'y 21 1 20. 29 93.03 17.18 -February 28 \ 1 20. 84 93.46 17.10 ^arch 7 .... 54^ 1 18 64 91. 76 17.42 miarch 34 54-i 1 18. 92 91. 98 17. 38 »>Iarch 21 54t 1 19.19 92.19 17. 34 Vlarch 28 54| 1 19. 74 92. 61 17.26 !\.13ril 4 . ... 54i 1 18. 92 91. 98 17. 38 ipril 11 54 1 18. 37 91. 55 17.46 'Vpril 17 54 1 18. 37 91.55 17. 46 Ipril 25 54 1 18. 37 91. 55 17. 46 VLay 2 53| 1 17. 82 91.12 17.54 ^lay 9 : 53^ 1 17. 27 90.70 17.62 ^lay 30 53i 1 17. 27 90.70 17. 62 May 23 53^ 1 16. 72 90. 28 17. 70 Slay 30 1 16. 86 90. 38 17. 68 ruiie 6 53/s 1 17.3.4 90. 60 17. 64 Tune 13 53/H 1 17.14 90. 60 17.64 Tune 20 •. 53 1 16.18 89.85 17.79 Tune 27 . 521 1 15. 63 89.43 17.87

Average .'. .54^ 1 18. 64 1 91. 76 17.42

^III.—Coins of the United States, authority for coining, and changes in weight and fineness»

GOLD COINS.

Double-eagle.

Antliorized to be coined, act of March 3, 1849. Weight, 516 grains; fineness, 900. Total amonnt coined to close of fiscal year ended Jane 30, 1878, $831,001,780.

Eagle.

Anthorized to he coined, act of April 2, 1792. Weight, 270 grains; fineness, 916|. Weight changed, act of Jnne 28, ia34, to 258 grains. Fineness changed, act of Jane 28,1834, to 899.225. Fineness changed, act of January 18, 1837, to 900. Total amonnt coined to close of fiscal year ended Jnne 30, 1878, |56,862,710.

Half-eagle. Anthorized to he coined, act of April 2, 1792. Weight, 135 grains; fineness, 916§. Weight changed, act of Jane 28, 1834, to 129 grains. Fineness changed, act of Jnne 28, 1834, to 899.225. Fineness changed, act of January 18, 1837, to 900. Total amount coined to close of fiscal year ended June 30, 1878, : 0,101,495.

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282 REPORT ON THE FINANCES.

Quarter-eagle.

Authorized to he coined, act April 2, 1792. Weight, 67.5 grains; fineness, 9I63. Weight changed, act of June 28, 1834, to 64.5 grains. Fineness changed, act of June 28, 1834, to 899.225. Fineness changed, act of January 18, 1837, to. 900. Total amount coined to close of fiscal year ended June 30, 1878, $26,933,600.

Three-dollar j)iece.

Authorized to he coined, act of February 21, 1853. Weight, 77.4 grains; fineness, 900. Total amount coined to close of fiscal year ended June 30, 1878, |)1,708,932.

One-dollar.

Authorized to be coined, act Ma,rch 3, 1849. Weight, 25.8 grains; fineness, 900. Total amount coined to close of fiscal yeJar ended June 30, 1878, |19,346,158.

SlLVJilR COIKS.

Dollar. Authorized to be coined, act of Ax)ril 2, 1792. Weight, 416 grains; fineness, 892.4. Weight changed, act of January 18, 1837, to 412-^ grains. Fineness changed, act of January 18, 1837, to 90(5. - Coinage discontinued, act of Febraary 12, 1873. Total amount coined, $8,045,838. Coinage reauthorized, act of February 28, 1878. Amount coined to close of fiscal year ended June 30, 1878, $8,573,500.

Trade-dollar.

Authorized to be coined, act of February 12, 1873. Weight, 420 grains; fineness, 900. • Total amount coined to close of fiscal yea.r ended June 30, 1878, $35,959,360. Half-dollar. Authorized to be coined, act of April 2, 1792. Weight, 208 grains; fineness, 892.4. Weight changed, act of January 18, 1837, to 206i grains. Fineness changed, act of January 18, 1837, to 900. Weight changed, act of February 21, 1853, to 192 grains. AVeight changed, act of February 12, 1873, to 12| grams, or 192.9 grains^ Total amount coined to close of fiscal year ended June 30, 1878, $122,-744,795.50. Quarter-dollar. Authorized to be coined, act of April 2, 1792. Weight, 104 grains; fineness, 892.4. Weight changed, act of January 18, 1837, to 103-J- grains. Fineness changed, act of January 18, 1837, to'900. " " Weight changed, act of Febraary 21, 1853, to 96 grains. Weight changed, act of February 12, 1873, to 6^ grams, or 96.45 grains. Total amount coined to close of fiscal year ended June 30 1878, $38,477,149.

Tiventy-cent piece. Authorized to be coined, act of March 3, 1875. Weight, 5 gra,ms, or 77.16 grains; fineness, 900. Coinage discontinued, act of May 2, 1878. Total amount coined, $271,000.

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DIRECTOR OF THE MINT. 283

Dime. Authorized to be coined, act of April 2, 1792. Weight,'41.6 grains; fineness, 892.4. Weight changed, act of January 18, 1837, to 41:^ gi^ains. Fineness changed, act of January 18, 1837, to 90(). Weight changed, act of February 21, 1853, to 38.4 grains. Weight changed, act of February 12, 1873, to 2i grams, or 38.58 grains^ Total amount coined to close of fiscal year ended June 30, 1878, $16,902,677.30. Half-dime. Authorized to be coined, act of April 2, 1792. Weight, 20.8 grains; fineness, 892.4. Weight changed, act of January 18, 1837, to 20f grains. Fineness changed, act of January 18, 1837, to 900. •Weight cha,nged, act of February 21,*^ 1853, to 19.2 grains. . Coinage discontinued, act of February 12, 1873. Total amount coined, $4,906,946.90. Three-cent piece. Authorized to be coined, act of March 3, 1851. Weight, 12-| grains; fineness, 750. Weight changed, act of March 3, 1853, to 11.52 grains. Fineness changed, act of March 3, 1853, to 900. Coinage discontinued, act of Febraary 12, 1873. Total amount coined, $1,281,850.20.

MINOR • COINS. Five-cent (niclcel). Anthorized to be coined, act of May 16, 1866. Weight, 77.16 grains, composed of 75 per cent, copper and 25 per cent, nickel. Total amount coined to close of fiscal year ended June 30, 1878, $5,773,170. Three-cent {nickel). Authorized to be coined, act of March 3, 1865. Weight, 30 grains,, composed of 75 per cent.' copper and 25 per cent, nickel. Total amount coined to close of fiscal year ended June 30, 1878, $855,138. Two-cent {bronze). Authorized to be coined, act of April 22, 1864. Weight, 96 grains, composed of 95 per cent, copper and 5 per cent, tin and zinCi Coinage discontinned, act of Febraary 12, 1873. Total amount coined, $912,020. Cent {eo2^per). Anthorized to be coined, act of April 2, 1792. Weight, 264 grains. - Weight changed, act of January 14, 1793, to 208 grains. Weight changed by proclamation of the President January 26, 1796, in conformity with act of March 3,'1795, to 168 grains. Coinage discontinued, act of February 21, 1857. Total amount coined, $1,562,887.44. Cent (nickel). Anthorized to be coined, act of February 21, 1857. Weight, 72 grains, composed of 88 per cent, copper and 12 per cent, nickel. Coinage discontinued, act of April 22, 1864. Total amount coined, $2,007,720. Cent (bronze). Coinage a,uthorized, act of April 22, 1864. Weight, 48 grains, composed of 95 per cent, copper and 5 per cent, tin and zine. Total amount coined to close of fiscal year ended June 30, 1878, $1,764,546.

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Half-cent (copper). Authorized to be coined, act of April 2, 1792. Weight, 132 grains. . Weight changed, act of January 14, 1793, to 104 grains. Weight changed by proclamation of the President, January 26, 1796, in conformity with act of March 3, 1795, to 84 grains. Coinage discontinued, act of February 21, 1857. Total, amount .coined, $39,926.10.

XIV.—THE UNITED STATES TRADE-DOLLAR IN CHINA.

No. 398.] UNITED STATES LEGATION^ Peking, February 7, 1878. SIR: In view of the decision of the Chinese Government to take no stex)s for the •establishment of a mint and a currency, I have thought the moment opportune to inquire of our consuls whether the irade-dollar is coming into circulation, .and whether any official action may be taken which will increase the demand for it. I inclose the form of a 1—31::8 letter, which I am addressing to them. You will notice that in my 2—398 letter to the officer at Canton, I point out the fact that an official assa-y of the'coin mentioned, made at his port in 1873, did not produce a correct result, and ask whether it is desirable to request another assay. The Canton assays are accepted by the customs at other ports, and the matter seems important nnder these circumstances. In point of fact, however, foreign coins are not imported for use at their bullion value, but to be put into circulation at the higher value which their convenience for circulating purposes creates. I have understood Ihat the trade-dollar sometimes commands two or three j)er cent, premium at Canton, but it has not come into circulation, so far as 1 have heard, elsewhere. At Shanghai, in 1876, the singular spectacle was seen of Mexican dollars ranging in value in the local currency from 72.6 per cent, of the tael to 82.5 per cent., a fluctua tion of 10 per cent, between silver in the form of dollars and silver as bullion. A more pertine?nt commentary on the fact that the Chinese would apjireciate a coinage system could not well be offered. I have the honor to be, sir, your obedient servant, GEORGE F. SEWARD. Hon. WILLIAM M. EVARTS, Secretary of State.

[Dispatch No. 398, inclosiire l.j Mr.'Seicard to Mr. Stahel. No. 107.] FEBRUARY 5, 1878. SIR: Please be so good as to inform me whether the trade-dollar has come into cir culation at your port; if so, to what extent^ and whether official action may be taken which will be likely to create or increase demand for it. I am, &c., GEORGE F. SEWARD. Same sent mutatis mutandis to consuls at Amoy, Foo-Chow, Mngpo, Chin Kiang, Han kow, New Chwang, and Tien-Tsin.

[Dispatch N'o. 398, inclosure 2.]

Mr. Seivard to Mr. Lincoln. No, 31.] FEBRUARY 5, 1.878. . SIR: By an assay, made at your port in 1873, the trade-dollar was declared to be 896.1 fine, and 111.9 taels weight of them to be equal in value to 100 taels Haikwan (or pure) sycee. Inpoint of fact, however, the trade-dollar is 900 fine, and 111.11 taels weight of them should be equalto 100 taels Haikwan sycee. By the same assay 100 trade-dollars were found to weigh 72 taels 6 m. 8 c. The Haikwan tael is declared to weigh, however, 1

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to th^conrse of exchange and any other considerations which may be involved, it is worth while for us, in your opinion, to ask for another assay of^^he trade-dollar. Please advise me also whether any official action may be taken, which, in your oxDin- ion, owill tend, to increase the demand for trade-dollars in this country. 1 am, &.C., "^ ". • : .. ' ' • - . . GEORGE F. SEWARD.

••••,-• .^ -s • . •^-

No. 19. ] LE(iATION OF THE UNITED STATES, . , " , , Peking, July 1, 1878. SIR: Recurring to Mr. Seward's dispatch. No. 398, o^f February 7 last, inclosing a. copy of a circular4etter addressed to our consuls at the several ports, inquiring;' whether the trade-dollar is coming into circulation,; and whether any official action^ may betaken which will increase the demand for it, I now have the honor to hand . to you copies of the several replies which have been.received. • From these you will see that the coin in question has obtained no circnlation in' China, except at Amoy^ Canton, Foo-Chow, Swatow, and the Formosa ports. At these places it seems to be preferred by the natives to the Mexican, and to command a small premium. ' The burden of opinion would appear to be that no official effoi-t to extend its circli- jlation is advisable^ unless it can be made a legal tender for the payment of customs Idues at a fixed rate. I desire to request your special attention to the remarks contained in the dispatches from the consuls at Amoy, Foochow, and Ningpo as to the desirability of preventing, if possible, the ^'chopping '^ or mutilation of the trade-dollar. This practice, which had its origin in a rule made by mercantile houses in the south lof China, requiring each firm to guarantee the genuineness of dollars paid out by affix ing to each coin its ^'chop" or Chinese firm name, and which was done by stamping kvith a die upon the surface of the coin, has grown into such an abuse that current dollars are defaced beyond all possibility of recognition, and not infrequently coins [are found in circulation through which hol^^s have been punched. - ^ In some cases indeed there is good reason to believe that the die has been displaced \bj a gouge, and a small portion of the metal has thus been abstracted from the coin; In this connection I inclose a copy of a memorial uxDon this subject presented to the governor of Hong-Kong in June, 1877, by the leading bankers and merchants of that colony, in which the evils otHhe '^.chopping" system are set forth. It is evident that the mutilation and defacement of any coin tends largely to limit land interfere with its circulation. Whether it is Avise to undertake negotiations with this government at the present time, looking to a suppression of this jiractice ill China so far as it affects United States coins, is a question for the department to decide. ;j I desire, however, to point out that steps in that direction, if entered ui^on at all, jshould be undertaken simultaneously in Peking and London, as the practice referred 'jto is not more common in this country than in Hong-Kong, which, as you are aware, is |a British colony. , I have the honor to be, sir, your obedient servant, CHESTER HOLCOMBE/ Hon. WILLIAM M. EVARTS, Secretary of'State.

[Dispatch I^o. 19, incloSure 1.] ^ Mr. Henderson to Mr.- Seward. |No. 77.] ' ., • ' • - AMOY, ir^'i/2, 1878. SIR: I now have the honor to submit the following in reply to the inquiries made |in your dispatch No. 46. The American trade-dollar Is and has been for more than two years past in use at the i)orts in this consular district, though not so extensively as the Mexican. At present it commands a premium to buj^ers of one and a half cents at the cash shops in Amoy, and payers everywhere.have a decided x^reference for it. One thousand trade-dollars are 1-23-6 too heavy, or over the weight of 72 Amoy cur rency. But for the universal and unrestricted tendency of people who have pay ments/.to make to procure and use the worst dollars that will pass, they might, for aught I can see, become the exclusive ouiTency. They are better than the Japanese trade-dollars, and neither the tael nor ^.^ dollar Spanish" ,has any existence in reality. 'Any official action that would, restrict or prevent the circulation of debased or muti- ated coins, or those of lesser weioht and value, would necessarily promote the use of he trade-dollar. Any measure of this kind would, however, encounter the opposition f the schroff's, money-brokers, and compradores, as well as those concerned for the \hioneys of other countries aff'ected by it. • . ', /

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If the Chinese Government could be induced to make it the only legaLtender for customs-duties, much would be gained for it, but this could not be easily accomplished, and might not be desirable, I have for a year past required all official fees at the con-' sulate to be paid in clean .trade-dollars, but the amount collected has been small, and no favorable influence of the plan can be perceived. I am, &.C., '']"•.,' J. A. HENDERSON, - . Consul.

Mr. Lincoln to Mr. Seward. • . ' ' . No 9.] . / CANTON, Afarc/i 9, 1878. SIR: I had the honor to receive your dispatch, No. 31, of February 5, 1878, regarding the weight and circulation of the IJnited States trade-dollar, on the 4th instant. Inasmuch as this coin is taken, here at its actual fineness (900), I do not think it would be advantageous to have another assay. Some months since the German consul wrote me on the subject of assaying the coins in circulation here, as per copy of his letter marked Inclosure No. 1. After due consideration and consultation with my colleagues, I wrote him as per Inclosure No. 2. Regarding its circulation, I wrote the department some time since, as per Inclosure No, 3. I am convinced that the tra.de-dollar is gradually increasing in' circulation; that it is better liked than the Mexicans. I find that in cases where money is hoarded up or laid by, by the natives, the trade-dollar is invariably selected. Believing inclosures Nos, 2 and 3 give my views fully on the subject, I have the honor to be, sir^ your obedient servant, ' C. P. LINCOLN, . ^ . Consul.

[Inclosure l!^o. 1.1 • • • • ' GERMAN CONSULATE, • ' Canton, June 22, 1877. DEAR SIR AND COLLEAGUE : According to article 22 of the treaty between Germany and China, payments due to the Chinese customs may be made in bars or. in foreign coin whose relative value to the Chinese sycee silver shall be fixed by special agree ment, according to circumstances, between the consular officers and the saperintendent of customs. The provisions of the article of this treaty have as ye;fc not been carried out at Can-, ton, inasmuch as the above-mentioned agreement between the German consul and the superintendent of customs there has never been entered into. I have therefore lately been instructed to cause the relative value of the coins cur rent at the Chinese customs to the Chinese sycee silver to be fixed in the manner pro- Added by the article in question. The motive for the instruction is the following: As regards the value of the Mexican dollar. The result of 52 assays lately made at the Japanese imperial mint at Osaka w?is that the fineness of Haikwan silver varies between 984,5 and 986.5, and that by far the greater number of pieces examined showed a fineness of 985.5, containing besides from .002 to .002,2 of gold. The loss incurred by melting 54,018.34 ounces was 83.03 ounces. According to American assays, weight and fineness of the Mexican dollar are: the old Mexican dollar, 415.68 grains troy and 901 fineness; the new Mexican dollar (bal ance dollar), 415.68 grains troy and 902.5 fineness. By an assay made on the 23d December, 1873, by Her Britannic Majesty's consulate and the Chinese authorities at Canton, the value of 100 old Mexican dollars was fixed at 63.9 Haikwan taels, and that of the new dollar at 64.8 Haikwan taels—that is to say, 100 Haikwan taels are 154.32 new and 156.49 old Mexican dollars. This unfavorable proportion can only be traced to the fact that the loss' sustained by melting, &c., of the dollars was more considerable than what it would have been in the event of a careful and conscientious manipulation. The weight of 100 dollars being 72.67 Haikwan taels, and assuming the fineness of the tael to be 1,000 and that of the dollar 900, which is too favorable for the former and too unfavorable for the latter, $15s?.90 would have to be paid for 100 Haikwan taels. ; ^ . . • ' It hence follows,' since Mexican dollars are of an actual fineness of, respectively, 901 and 902.5, instead of 900,.and the average fineness of Haikwan taels not being 1,000, but only 985.5, that for every 100, Haikwan taels $4.06 are i)aid in excess of their value in new and $5.93 in old Mexican dollars.

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All consuls of the treaty powers having a right, and, in view of;the above facts, suf ficient cause, to desire the relative values of the current coins regulated upon a sound basis, I enibrace the opportunity, dear sir and colleague, to inform yon of my inten tion of engaging the Chinese authorities to subject the diff'erent coins to a fresh assay. ' As this is a matter of common interest to all foreigners, I beg to inquire if you will act conjointly with me and our other colleagues, to whom I have addressed a similar lletter. It will be a matter for future consideration in what manner the new assay has to be carried out in order to be just and reliable. Requesting the favor of an early reply, I have, &c,, ^ SODEN. CHARLES P. LINCOLN, Esq., . , United States Consul, Canton. .

[Inclosnre Ko. 2.1

|NO. 322.] UNITED STATES CONSULATE AT CANTON, • . ' July 5, 1877. SIR : I have had the honor to receive your dispatch regarding a reassay of the cur° rent coins at this port. I am fully convinced that such an assay would not prove beneficial to those whom I" Iknow it is your desire, as well as my own, to serve. The assays heretofore made at this port of the American trade and Mexican dollar |do not agree with the assays made in the United States of the same coins, these coins jbeing declared here a little less fine than their true value, though I understand they jare taken for customs duty and by all bankers and merchants at 900 fineness. While it would be desirable to know the exact value of a Haikwan tael, I fear it is la thing not so easily ascertained, as I learn that by some strange arithmetical calcula- Ition, known only to those familiar with its working, the value Of the Haikwan varies as much as the rates of exchange npon Europe or America. I am, &c., C P. LINCOLN, United States Consul, Baron VON SODEN, ' ' • ; H. I. German Consul, Canton.

Mr. Colby to Mr. Seward.

No. 69.] CHINKIANG, March 12, 1878. ' SIR: In response to the inquiry made in your No. 27, in regard to trade-dollars, I Ibeg to say that there are none in circulation at this port, and, from the best informa- jtion I can gather on the subject, any eft'ort to introduce them commercially would be jattended with a considerable loss to the introducer, as they would not be received ex cept at a discount of at least five per cent, as comxDared with the Mexican dollar, now lin universal use here. I am, sir, your obedient servant, . . • ' . ;•. • J,. C, S.-COLBY, . ' Consul.

M, M. De Lano to Mr. Seward. - •••' ', • • Voocnow, MarchA, 1818. SIR: I have to acknowledge the receipt of your dispatch No. 52, making inquiries labout the circulation of the American trade-dollar at this port.. In reply I have to say that the annual import .of the dollar, say for three years past, has been from ten to twenty lakhs. It is eagerly sought for by the Chinese, when not mutilated, and when brought up from Hong-Kong without having been sub« Ijected to the process of " chopping'' it is taken in preference to the Mexican dollar. .Upon first appearance of the trade-dollar here, there was an effort made to place it at a discount of two per cent, as compared with the Mexican, but at my instance the Chinese authorities were induced to order it to be taken for customs duties at the same rate as the Mexican, also to issue public proclamations commending it to the people 'and forbidding its mutilation. This action had the effect to bring it into notice, -and lit is still looked ux3on by the natives with much favor.

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I know of no official action which would tend to increase its circulation here unless means could be taken to prohibit the chopping of it in Hong-Kong and Canton. I am of the opinion that if official action could be taken to place it at par with' the Mexican dollar at Shanghai, its circulation in China would thereby be increased fourfold. , ^ I have the honor to be, sir, your obedient servant, M. M. DE LANO, ; • Consul,

Mr. Shepard to Mr. Seivardc No;18.]-- HANKOW, Afarc/i 8,1878. •- SIR: I have the honor to acknowledge your several dispatches, numbers 41, 42, and 43. Referring to the first, I have to report, from inquiries of merchants and the bank, I cannot learn that an American trade-dollar was ever seen in Hankow. The Chinese are very no.tional about ^'dollars," and while the '^sun-dollar'' is taken without ques tion, the ''scale-dollar'' is at a heavy discount. As you know, both are Mexicans,.and even the manager of the Hong-Kong Bank tells me he does not know any real difference in their value. Intelligent compradores assert, that if the trade-dollar were introduced, the Man darins "would order it boiled, chop, chop"; i. .e., condemn it to be smelted. I have no . doubt such would be the case, and I can, therefore, recommend no official action to create or increase a demand for it at this paTticular point. Its recognition as the standard at banking institutions, and by native officials, would doubtless pave the Avay for unquestioned circulation. I see no way to this re sult otherwise, except by the very slow, process of a gradual familiarity with the coin, extending from' the great ports of Shanghai and PIong-Kong. I am, sir, your obedient servant, ISAAC F. SHEPARD, • Consul.

Mr. Baudinel to Mr. Seward.

No. 14,4820 ' mm CmYmQ, February 27, 187S, SIR : In reply to your excellency's dispatch. No. 36, of the 5th instant, I have the honor to state, the trade-dollar has come into circulation at this port, but only to a very limited extent; it is sold at a premium as a cnriosity to dealers from the interior, but can" only be passed at a discount in general business. Official intervention would, I think, be undesirable as tending to prejudice the Chinese commercial mind against anything thus recommended, unless, indeed, it would be proper to insist on the foreign customs taking them (and Mexican dollars) in payment of duties, tonnage dues, &c. At present they only accept dollars as matter of favor, not of right, and then at a dis count on the market rate. Dollars, with the above exception, are seldom used here, except for ships' disburse ments and at the foreign stores; the native currency of the port and district being sycee (small and in shoes) coiDper cash and tiao notes. I have the honor to be, sir, your obedient servant, FREDK. BAUDINEL, Fice-Consul.

Mr. Lord to Mr. Seward. ' No. 83.] • l^mGVO, February 23, 1878. SIR: In repty to your inquiries relating to the introduction'of the trade-dollar at this port, I have to say that it has not been introduced here to any extent whatever. It would have been a great blessing if it could have been introduced; for wie are suffering very grievous evils for the want of it or something like it. . ' The Mexican dollar, the only coin (Chinese cash excepted) now current here, is so uncertain in its value and so liable to be counterfeited that there is for us no end of trouble, and this troable has greatl^^ increased of late. There have been several attempts made here to coin this dollar by natives, and the work produced was so well executed that only schroffs or experienced money-changers could detect them. The value of some of them was also quite fair, being only short some four or five x^er cent. I think the trade-dollar or any other invariably good and well-executed one would find great difficulty in coming into use here without official action. Bankers and

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schroffs control the currency here, and it is for their interest to have this as defective and difficnlt as possible so as to,gain from those who are ignorant. For this reason the bright or newly coined Mexican dollar is usually at a discount here. I am inclined, to think that if an .arrangement could be made with the .customs authorities to. take the trade-dollar in payment of dues, and at a fair rate of exchange, it might be brought into use, and if in addition it could be made a penal offense for the Chinese to melt, deface, or counterfeit it,, I think there would soon be a large demand for it. ' The practical currency now of this port is the dollar. The tael is becoming more and more nominal, and the old method of keeping acconnts and prices in cash is fast changing into dollars and cents. I have the honor to be, sir, your obedient servant, EDWARD C. LORD, ... ,- United States Consul.

Mr. Stahel to Mr. Seward. No. 619.] • \ SHANGHAI, ^j9n? 3, 1878. SIR : Referring to your dispatch No. 107, I have now the honor to inclose copy of a letter just received from the vice-chairman of the Shanghai Chamber of Commerce, to which body Lapplied for information on the subject, being myself so little acquainted with matters in China. I have, &c.', ^ J. STAHEL, ' Vice-Consul-General.

: Chamber of Commerce to Mr. Stahel. SHANGHAI, March 30, 1878. Your letter of 21st February on the subject of the introduction of the trade-dollar Avas briefly acknowledged on the 23d of the same month, and the committee has since gathered information which shows that there is no present ]3rospect of inducing the natives to accept the coin or of influencing official action on the part of the Chinese authorities to facilitate its recognition as a legal tender. The dollar has been imported in small quantities and has failed to make its way, having always been refused at its full value, while application to the Taoutai for aissistance in introducing it has led to no result beyond a declaration of the inability of the officials to move in the matter, as the currency of this port for trade j3urposes is sycee silver. . Those x)arcels of trade-dollars which have been received have therefore been reshipped. to the south, where the coin is easier of exchange. I have, &c., • F. B. FORBES, Vice-Chairman..

Mr. Denny to Mr. Seward. No. 8.] Tnm-TsiK, February li, 1878. SIR : In reply to your dispatch of the 5th instant, I have the honor to say that the American trade-dollar is not known as a circalating medium at this port. As you are aware, nothing will be receivetl in payment of obligations in. the interior but sycee silver or copper cash,, and the same rule is also observed at this port in most all trans actions. For this reason the larger proportion of Mexican dollars shipped to this port are converted into syce'e, leaving very few in circulation. The trade-dollar being of equal fineness with the Mexican, and a trifle heavier in weight (its weight being 420 grains troy), and also niore accurately and uniformly milled, there would be sufficient inducement for the Chinese to use it in preference to the Mexican if coined money circulated here as it does in western countries by its %iominal value rather than by weight or intrinsic value; but under the prevailing cus tom of circulating by weight alone, I do not see that any official action can be taken that Avould be of practical use to create or increajSe demand for our trade-dollars to any considerable extent in this part of the country. Greater familiarity with the new dol lar Avill i)erhaps. overcome the present strong prejudice of the natives in favor of the Mexican, but itSvCirculation as a dollar would even then be limited,-as the clean Mex ican UOAV is, to small transactions with foreigners. I' am, &c., . . O. N. DENNY, Consul. 19 F

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XV.—THE JAPANESE TRADE-DOLLAR. UNITED STATES LEGATION, JAPAN, •• Tokei, JimeQ, 1878: • ' SIR : This government on the 27th nltiino issued additional coinage regulations, de-. daring that the silver trade-dollar of 420 grains, authorized by the regulations of 1878, shall hereafter be free to circulate generally, and shall be used in paying taxes and in all business transactions, public and private, and shall also be legal tender to any amount. I have the honor to inclose herewith translations of the several notifications on the subject as issued by his excellency Sanjo Saneyoshi, His Imperial Majesty's prime minister. . ^ / I note and inclose herewith an article on this subject which appeared with the noti fications in the Japanese Times of the 1st inst., in which, among other things,, the English editor predicts that the British dollar will push out of China at least the Mex ican dollar and the Japanese yen. This is the same editor who issued the article trans mitted with my No. 766, in which he claimed that the treaty poAvers were entitled to demand of Japan guarantees when restoring " her imperial right of coinage " by treaty revision. It seems that Japan paid no heed to the editor's proclamation of last Marcli that "the Japanese trade-dollar niust be abolished," and has ordered this extended coinage Ayithout waiting for "the restoration of her impierial right of coinage" by treaty revision and the favor of the treaty powers, as, in niy opinion, she* had the right to do. I have the honor to be, sir, your obedient serA^ant, JNO. A. BINGHAM. Hon. WILLIAM-M: EVARTS, Secretary of State, Washington, D. C.

THE FINANCE NOTIFICATIONS. The following important negotiations respecting the trade-dollar and rcAdsing cer tain of the coinage regulations Avere issued-in T6ki6 on the 27th instant: [Notification lô. 12, by the prime minister.l It is hereby notified that the silver trade-dollars which have hitherto been coined for the convenience of trade in all the open ports, but which haAê hitherto only been circulated within the limits of those ports, shall hereafter be free to circulate gener ally, and may therefore be used in paying taxes and in all business transactions, either public or i)rivate. SANJO SANEYOSHI, Prime Minister. [Notification No. 13, by the prinie'minister.l It is hereby notified that sihêr trade-dollars having, by Notification No. 12, been, anthorized to circulate generally, the coinage regulations notified in Notification No. . 108, the 6th month of the 8th year of Meiji (June, 1878), have been revised as under. Thelimit of circulation of the coin is enlarged; the charges for coining and the limit of bullion received for coinage are decreased-, and the period shortened between recei]_>t of the bullion and delivery of the coin. That is to say, in the coinage regulations the undermentioned changes are made: In the 5th clause of Notification 108, in the note to Article 4 of the coinage rules, and in Articles 9, 11, and 13 of the same. SANJO SANEYOSHI, Prime Minister'i [Revisions mentioned above.l .Fifth clause of the limit of circulation of coin revised thus : ^'These trade-dollars may be used in x)aying the customs-duties and any other taxes paid by foreigners and in all business transactions between Japanese and foreigners'; also in payment of all taxes in the interior, and in -all other payments, pnblic or private, the same shall be legal-lender to any amount. ^'In note to Article 4 of the coinage regulations (respecting the fixed amount of sil^ ver'bnllion receivable by the mint for coinage), for 'silAêr bullion wi IF be received in quantities of 1,000 ounces' read 'in quantities of 500 ounces'; in Article 9 of the same (respecting the period to elapse betAveen receipt of bullion and deliAêry of coin), for ' twentieth day' read 'tenth day'. In Article 11 of the same (respecting the charge for coinage), for '1-^ (one and a half) per cent, 'read '1 (one) per cent.;' in Article 13 of the same (respecting the charge for recoining), for '10 (ten) per thousand' read '5 (five) per thousand'.' [Extract from the Japan Times, June 1, 1878,1 ^ ' • We should hail these notifications with i)leasure, as steps toward the point at AA^hich we are anxious to see Japan arrive—that of issue of coin for the China Irade a^ Avell as for her own—were the changes made in favor of the Japanese silver yen of the same weight and fineness as the Mexican dollar. But as an attempt to bring into cirjula-

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tion as coin the stamped ingots of silver which are called trade-dollars, of 420 grains weight, we regret their publication. Our hox)e is as far as ever from falfillment, and the exjjectations of the authors of the notifications will not be attained. The trade- dollars Avill continue to pass out of one set of melting-jjots only to go into another; foreign bullion Avill not be attracted to the Japanese mint; the opportunity now offer ing in China for a successful attack upon the Mexican dollar Avill be allowed to slip . past unseized ; the Mexican dollar and the tyranny of the schroff will remain excres-° cences from our trade, or Hong Kong Avill establish a mint of her OAVU, and then not only will all hope of a profitable coinage business for Jaxân in the China trade be. lost, but the British dollar will push Out the Mexican and x)ush out the Japanese yen too. All the profit hereafter to be made from subsidiary coinage for use in China will also, in 'that case, go to^ the Hong Kong establishment instead of to that at Osaka, and AvhatcAêr bullion Japan may coia into trade-dollars for her own use will coatinue to be drained out of the country as fast as they are produced, and quietly sold back to her as b'ar-silver to coin OAêr again. • Another outlet for them, which has evidently escaped the finance minister's observa tion, has just been provided, in addition to those previously existing, by recent legis lation in America. Is there no one in the financial bureau of this country who can point out to his chief that it will pay foreign bankers to send' Japanese trade-dollars t J the United States mints to^ be coined into the new silver currency just legalised there ?"'••' - \ • • It will be remarked, also, that in three notifications no mention is raade of gold coin. As the la,AV stands at present gold is a legal tender to any amount, and how the silvei* trade-dollar is given equal currency. The finance minister appears bent on commit ting as many mistakes as he can. He .opi)resses his country with the evils of bi-metallism at the same time that he orders the mintage of the wrong description of silver coin. . , As matters of practice and fact and of interest to the foreign trade, of course these notification's sire valueless, because trade will be Caffied on as before, Withtliellexican dollar and the paper currency as the media of exchange. Foreigners will certainly not send in bullibn to be Coined iiit'6 trade-dollars, and what little bullioh gOvernihent. has to coin, gold or silver, will be drained away as before by the Mexicans. ^ It is vexatious to friends of the country and Avell-wishers of her government to see an opportunity like this lost, and a Wrong course taken, in direct opposition to the adAdce of experts, to the teaching of experience, and to common sense. But we aban don the subject in despair, and, the only questions relative to it Avhich retain for us a spark of interest are: Who are the finance minister's adAasers? By what arguments have they induced him to the step he has taken, and hoAv will he justify it to his col leagues in the government Avhen his failure is apparent? More than ever, perhaps, are UOAA^ felt the deficiencies of the native press. We find in it as yet neither attack nor defense Of the notifications; the subject appears to be beyond the grasp of native journalists. And regrettable, too, is tlie nuAvisdom Avhich killed in its birth what niight have grown into a most useful means of education—a combined native and alien jour nalism. Did newspapers now exist conducted by foreign and natiA'ê editors in partner-, ship, this most important question of the currency might have been fully argued' oiit oh both sides and in both languages. The finance minister then, with all the argu ments before him in clear light, could hardly have failed to arrive at a right decision. It Avould not haAê been that which we have now to condemn.

XVL—UNITED STATES ASSAY OF JAPANESE "PYX" COINS OF THE COIN AGE OF THE MINT AT OSAKA FOR THE FISCAL YEAR ENDED JUNE 30, •1878. • . . • ..•.•..•;.. ;.. -.•• - .- -. LEGATION-OF JAPAN,- • ' •^.• i .^ . : .Washington, 14th 9th month, Fleventh year, Meiji. I SIR : I have the honor to transmit herewith, from tlie mint of Osaka, fourteen pack ets of samples of money coined and assayed at that -mint during the year ending June, 1878. As on several previous occasions with other specimens, my government A^ônld be glad to have these saniiples assayed'at the mint of the United States; and I havê only to repeat that I will cheerfully j)ay**auy expenses which- may be incurred by this additionar request. , With this letter I also send yon a copy of another, written by Mr. W. Gowlahd, of the imperial mint, Avhich AvilL eiijible theVâssajw of the UnitkV make com parisons. •. - ..-•/':••. Accept, sir, the renewed assurances of niA'high consideration. YO^HIDA KIYONARL Hon. WILLIAM M. EAÂRTS, , ,^ , . Secretary of State. . • • , -. .

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292 REPORT ON THE FINANCES.

THE IMPERIAL MINT, ASSAY DEPARTMENT, June 25, 1878, SIR : Four five-yen and four trade-dollar coins, selected by Mr. Yokura this morning from the pyx coins Avliich represent the coinage of the mint for the financial year 1877- 1878, have been indiAddually assayed by me. The remainder of the five-yen coins, 67 in number, have been melted and cast into a bar, and a cutting has been taken from this bar and assayed. The remainder of the trade-dollar coins, 84 in number, the Avliole of the 57 coins in the pyx, 92 in number, and 1,000 each of the twenty, ten, and five sen have been melted and "dip assay pieces" taken from the molten metal, and these dips assayed. Gold five-yen coin, No. 1, October 4, 1877 900.-0 Gold five-yen coin, No. 2, NoA-ember 26, 1877 900.3 Gold five-yen coin. No, 3, February 22, 1878 ,.. 900.1 Gold fiAê-yen coin. No. 4, March 18, 1878 900.2 Gold five-yen coin Cutting from bar 899. 9 Silver trade-dollar coin. No. 1, August 25, 1877...... 1.. . 901. 2 Silver trade-dollar coin, No. 2, November 5, 1877 900. 8 Silver trade-dollar coin. No. 3, March 13, 1878. '.. 899.8 Silver trade-dollar coin,, No. 4, June 15, 1878.... 901.0 Silver trade-dollar coin, cutting from dij) 900.5 Subsidiary silver: . Fifty-sen, cutting from dip .' : 799. 6 Twenty-sen, cutting from dip ,.-.„ l.i ....' 800. 6 Ten-sen, cutting from dip . ... 800.1 Five-sen, cutting from dip.. 799. 0 Each coin dip and cutting was divided into four parts, and one part was assayed by me and the other three parts were separately sealed up in your presence and delivered to you. \ In evêry case the coins are within the limits of the legal remedy as to fineness. I haAê the honor to be, sir, your obedient servant, W. GOWLAND, F. C. S., Associate of the Eoyal School of Mines. The COMMISSIONER.

MINT OF THE UNITED STATES, Philadelphia, Septeynbei^ 27, 1878. SIR : Herewith I offer my report of assays of fourteen samples from the Japanese mint, forwarded to you, with documents by the Director of the United States Mint. The samples represent the gold and silver coinage of the mint of Osaka "during the year ending June, 1878." Our results agree very well with those given by Mr. Gowland, of the assay depart ment of that mint. I will make a remark npon the subsidiary silver, that the " cut tings from dips" cannot be so uniform as granulations made by casting the dips into water, which prcA^ents segregation. I therefore give the averages:

Japanese United States

GOLD. Five yen coin 900.0 900.2 Do 900. B 900. 4 Do 900.1 900.3 Do 900.2 • 900. 2 Five yen coin, cutting from bar 900.0 SILVER. Trade-dollar 90L2 90L5 Do 900.8 900.6 Do ...-..--... 900.8 Do .. 901 0 900.2 Do : 900.5 900.5 SUBSroiARY, Fifty sen, cutting from dip 799.6 800.4 Twenty sen, cutting fiom dip; 800.6 800. 9^ Ten sen, cutting from dip 800.1 ,800.1 Five sen, cutting from dip 799.0 800.7

Very respectfully, WM. E. DU BOIS, Hon. JAMES POLLOCK, Assayer. Superintendent.

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DIRECTOR OF THE MINT. 293

XVIL—REDUCTION IN VALUE OF COINS OF TUNIS.

CONSULATE OF THE UNITED STATES, , ^ , Tunis, June 5, 1878.. SIR : In consequence of a considerable quantity of 4-piaster silver pieces haAdng been smuggled into the country, the Bey, has sent a circular to the consuls, informing them that he had decided to reduce the nominal values of the 10 and 5 piasters, gold, and the 4, 3, 2, and 1 piaster silver pieces in the proportions mentioned in his communica tion, a translation of which is inclosed, as well as two printed documents in French, on the same subject. This arbitrary decision has thrown the internal trade of the country into confusion, and the people, particularly the Arabs of the .interior, who hold large sums in silver, are in dismay at a measure which at once reduces its value by about one-fifth; for it is unnecessary to say that the offer of the government to pay in promissory notes the difference between the nominal value of the coin and its intrinsic value as fixed by the circular is quite illusory. . It is to be remarked that the coin introduced from abroad is of the same fineness as that struck at the mint, and there is no pretense that any other coin than the 4-piaster silver piece has been smuggled into the country. In 1872 the Bey reduced the fineness of the silA^er coinage by about 20 per cent., and that of the gold 10 and 5 piaster pieces by 2^ and 4 per cent, respectively. He issued at the same time a decree, Avhich, after stating that he had been obliged to resort to this measure to prevent the exportation of the subsidiary coinage, limited payments in silA^er to the sum. of 10 piasters. A large quantity of this coin was struck, and the government, disregarding its OAVU decree, at once proceeded to pay its emx)loy^s and its creditors in general with this depreciated currency. About the same time a lot of spurious gold 10-piaster pieces were brought from Europe and circulated among the Arabs, who, when they discovered the fraud, refused to accei)t gold of any denomina tion in ipayment for their i)roduce, but required to be paid entirely in silver. In this manner a vast quantity of the depreciated silver coin is in their hands. The financial commission has also added to the trouble by a bit of sharp practice which has not elevated it in the estimation of the public. They had on hand a considerable sum in silver which they had received for taxes, &c. Before recommending to the Bey the adoption of the late measure they, gradually changed their silver for gold of a larger denomination than 10 piasters, at a small discount (about one-qiiarter of one per cent.), and having emptied their coffers they induced the Bey.to send the circular. Silver fell at once 20 per cent, and the price of all articles of daily consumption rose from 25 to 50 per cent. Many shops were closed and for some days the greatest excite ment and confusion prevailed.. It is stated that about 4,000,000 of piasters in 4-piaster pieces have been imported. The impunity with which this has been done, although the parties, are welL known, gives rise to the belief that persons in high station near the Bey have had a hand in the fraud. I am, sir, very respectfully, your obedient servant, G, H. HEAP, United States Consid. Hon. WILLIAM HUNTER, Second Assistant Secretary of State, Washington, D. C.

s [Translation.]

Circular from the Bey modifying the value of certain denominations of coin. . '

Praise to God. , . v « The gold x>iece of ten piasters shall hereafter be Avorth nine and three-quarters piasters. The gold piece of five xoiasters shall hereafter be Avorth four and thirteen-sixteenths piasters. The silver ]3iece of four piasters shall hereafter be worth three and one-quarter piasters. The silA^er piece of three piasters shall hereafter pass current for two and seven- sixteenths i)iasters. The silver piece of two piasters shall hereafter be worth one piaster and ten-six teenths. The sllA^er ipiece of one piaster shall be AVorth thirteen-sixteenths of a piaster.

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294 REPORT ON THE FINANCES.

From the servant of God, &c., the Musclier Pasha Bey of Tunis, to the illustrious, &c., G. C. Heap, consul-general of the United States of America at Tunis, &c. It has come to our knowledge that a considerable sum in silver coin of the denom ination of four piasters has been imported into our capital. This importation by its extiaordinary quantity has caused the exportation of the gold coinage and a fall in the agio of that of silAêr. Under these circumstances we have deemed it advisable for the public good to modify the gold and silver coinage in tlie manner folloAving: The gold piece of one hundred xîasters shall be the standard coin of this country. It does not change in value, and the same may be said in regard to the fifty and twenty-five piaster pieces. All other gold and silvêr coins shall be subjected to the modifications indicated above. In this manner transactions will be equal, whether they be in silver or in gold. The piece of one-half piaster and the copper coinage shall continue to have the same value as heretofore, only no one shall be obliged to accept payment of more than two piasters in coin of these denominations in accordance with our decree of 12th of Sofat, 1289. Whoever shall haAê sums of money'of the aboAê-mentioned denominations are re quired to bring or send them to the mint Avithin a delay of thirty days from the date of these presents, in order to liaAê them struck Avith a die which shall indicate their modified value, after which they shall be returned to the depositor. As to the differ ence which shall result from this modification, the depositor will be giAên a document in which it will be stated, and he will be reimbursed the amount in four equal payments at 'inteiwals of six months each. The first payment shall be made in six months from the date of the document. ^- Whoever shall not present himself Avithin the time abovê stated shall forfeit his elaim to an indemnity, but the coin not stamped at the mint shall have currency at the rates aboAê mentioned. We communicate these presents to you that you may bring them to the knowledge of the persons under your jurisdiction. (Countersigned) MOHAMMED, .... L'irst Mmister. ;. Written the 28th of Junad-el arret 1295 (30th May, 1878). .

XyilL—DOMESTIC BULLION PRODUCTION. •^ . , > • • . . . .

; STATE OF CALIFORNIA, EXECUTIVE DEPARTMI::NT, Sacramento, Cal., July27, 1878. SIR: In response to your inquiry about the gold and silver product of this State, I have the honor to state that we have no means, as State ofiicers, of determining the amount. Wells, Fargo & Co. do all the carrying of bullion in this State. I wrote to the agent in respect thereto, and receiA^ed from him the inclosed letter, from which you will see that the product for. the year ending June 30, 1878, was |17,634,068. Respectfully, _ , E. W. MASLIN, . Private Secretary [to the Governor. Hon. H. R. LINDERMAN, Director United States Mint.

WELLS, FARGO & CO., San Francisco, July 19, 1878. SIR: The following is the amount of the product of gold and silver for this State from July 1, 1877, to June 30, 1878, as appears from the records in our auditor's depart-l ment: Gold-dust and bullion |15,260,679| Silver and base bullion 2, 373, 389, . 17,634,068' Yours, truly, J. J. VALENTINE, General Superintendent. Mr. E. W. MASLIN, - Private Secretary to the Governor, Sacramento, Cal.

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DIRECTOR OF . THE MINT. 295

MINT OF THE UNITED STATES, Carson, JSfev., August 28, 1878. SIR: Agreeable to request expressed in your letter under date of 9th ultimo, I here with transmit the NcAâda State comptroller's report, shoAving the bullion product of this tate during the fiscal year ending June 30, 1878. In your letter of abovê date, you express a desire to havê a report of the total gold nd sihêr ijroduct of NCA-ada, and state that you do not understand the comptroller's eport to include the A'alue of base bars and concentrated ores shipped east. Respect- iig this impression, permit me to say that the accompanjîng report is intended to OAêr every Aâlue of gold and silAêr produced in NcAâda, as the returns are made Luder oath to the respectlA'e assessors of the scAêral counties in this State by the up erin ten dents and maiu^gers of mines and mills, and these returns embrace all lasses of bullion. Very respectfiillA^, JAMES CRAAVFORD, Superintendent. Hou. H. R. LINDERMAN, Director of tlie Mint.

Production, of gold and silver from the mines of tlie State of Nevada during the fiscal ended June 30, 1878.

Quantity of ores woiked. jSTame of mine. Yalue„ Tons. Pounds.

EUREKA COUNTY. lipache 2 964 $204. 12 \-dams Hill 1 1, 018 92 33 iLtlas 82 1, 632 I 5, 346 59 3iill whacker 372 791 15, 047 46 Janner 70 785 3,125 47 bonanza 1,296 159 38 5ald Eagle 66 127 6,720 65 barton 233 1, 390 5,164 00 V Connelly ,547 1, 481 69,130 78 ;)assicly 2' 798 3.54 06 3elaAvare 4 1, 4.54 304 48 Diligent 2 891 107 31 3og Star 12 800 1, 390 66 Sureka ConsoUclated. , .562 2, 974,199 0.5 Eagle 178 742 21, 853 95 Excelsior 72 628 1, 889 93 Eldorado 209 1,214 31, 400 27 Empire ". 6 1,880 592 63 >ood Hope 140 383 74 3-rant 843 2, 758 46 jreddes and Bertrand . 1,219 5, 212 88 3arrison 270 77,470 11 5 eneral Lee 61 220 2, 836 39 Golden Era 3 1,340 96 92 Some Ticket 103 376, 3, 894 72 Hoosac J ^ 289 .966 12,184 57 Hamilton 2 1,818 172 90 Bamburg 313 380- 13, OBO 00 [ndnstry 218 1,364 25, 789 02 Tackson 483 188 13, 687 29 Tobn Ball 6 916 241 91 K. K. Consolidated... 14, 268 755 378, 787 71 Kentnck 4 135 352 29 Lemon 46 771 2,1.59 73 Matamoras 583 1,173 42,817 60 Macon City 54 1,544 4, 037 43 Mountain JBoy 56 437 6, 323 28 Magnet 9 732 201 37 Mortimer 28 1,650 1, 499 18 Orange 47 1, 428 2, 271 50 Other mines 31 61 2, 822 60 Phil. Sheridan 2 318 87 51 Pioneer 21 336 875 36 Phcenix 567 1,960 14,154 19 Pleaides . 71 423 2, 845 57 Hichmond Consolidated. 39, 715 1,450 2,193,179 19 Republic 6 351 1, 505 00 Rocky Point 4 625 333 45

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296 REPORT ON THE FINANCES.

Production of gold and silve)' from the mines of tlie State of Nevada, ^'c.—Continued.

Quantity of ores worked. ^N^ame of''mine. Value.

Tons. Pounds.

EUREKA COUNTY—Continued. Star 553 $5, 048 55 Silver Corner. ... 1, 927 , 550. 51 Sterling 1,488 , 294 54 Silver West 1,078 , 187 18 Stella 293 611 49 Star of the West. 977 859 92 Silver Fleece. 706 . 2,126 27 Silver Lick 1,117 5, 569 21 Snell... 30 485 52 Troy 57 3, 579 90 Tallahassee 184 160 78 Union 669 33 00 Uncle Sam 1,255 657 66 Vulcan 6 782 690.78 Wide West 12 692 896 87 Williamsburg 109 615 4,176 41 Williams 39 1,511 2, 824 76 War Eagle 39 1, 544 i, 448 10

Total 3aeld. 1,558 5, 984, 326 44

ESMERALDA COUNTY. A. D. Robinson 19 786 00 Black Warrior and Yanderbildt. 167 1,363 . 8, 088 84 Callison 724 62, 663 40 D. R. Robinson 66 2, 244 00 Dolores 525 8, 600 00 Endowment.: 1,989 64, 883 99 Ceo. Atwood : 1 133 28 Ceo. Dunn 132 4, 884 00 G-rundy and Strosnider 114 2, 337 00 Grundy and Spence 134 4,700 00 Heary Williams 309 4, 050 64 H. ^. Bodfish 23 722 00 H. C. Douglas 40 1, 025 85 Indian Queen 63 1, 500 9, 358 50 John Lavell 22 436 943 87 Lodi ....'. 21 1,800 754 32 IsTorthern Belle 13,644 573, 920 51 R.W.Millsap 40 1, 000 00 Strosnider - 249 6, 727 00 Vanderbildt and Pocotillo 948 57,719 37 Wheeler 618 26, 905 00 Wilson 100 1, 826 00 White and Ross • 518 00

Total yield. 19, 986 844, 791 57

ELKO COUNTY. De Ere.es. 21, 722 11 Grand Prize 11, 091 1, 208, 918 90 Hussey 1, 247 58, 842 62 Independence. 1,690 103, 049 80 Leopard 1, 084 67, 647 00 Kayajo 200 12, 000 00

Total ores 15, 607 1, 472,180 43 Tailings worked. 225 3, 375 00

Total yield 15, 832 .1, 475, 555 43

HUMBOLDT COUNTY. Arizona Silver Mining Company. 2,481 51, 513 00 Rye Patch Mill and Mining Company. 3, 508- 155) 103 22

Total ores 5,989 600 ; 206, 616 22 Tailings worked . 18, 075 • 90,737 50

.Total yield. 24, 064

LANDER COUNTY.

Battle Mountain Mining Company. , 569 306 29, 438 3 Bice, John - 1, 574 751 8 Cooper, H. H. 27 I l,-874 • 6, 765 5

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DIRECTOR OF THE MINT. 297

Production of gold and silver from the mines of the State of Nevada, fc.—Continued.

Quantity of ores worked. ISTame of mine. Value. Tons. Pounds.

LANDER Co UNTY—Continued. Cook &, Co $852 97 Defiance 380 803 51 Detroit 1,694 10,132 95 Dreaper, G 336 384 97 Esther 1,066 12, 973 49 JEclipse .... 88 10, 048 79 Eianegan 904 1, 891 68 GroA^e 1,100 869 87 General Tlioma 7 300 1, 392 32 Hill. 2 480 242 65 Homestake 52 936 11, 853 40 Leigh & Co '- 6 1,388 1, 540 38 Lee, Thomas 13 1, 662 3, 811 14 Morris,& Cable 11 1,048 5, 404 55 Morrow " 9 1,670 2,123 17 Manhattan Silver Mining Company. 4,754 447,192 24 McEee 10 1, 920 7, 640 88 Mullen 5 2.56 1, 541 78 Post & Ward 31 1,150 5, 995 34 Patriot 15 300 4, 454 43 Roseber 1 400 90 40 Trask 500 412 83 Ward 38 862 13, 974 86 Total yield. 5,720 1,082 582, 584 45

LYON COUNTY. Tailings worked. Atlanta Mill 5, 000 I 38, 052 62 Bacon Mill... 1,195 32, 032 70 Excelsior Mill 4, 569 32, 206 97 French's Mill 200 1, 500 00 Lyon Mill and Mining Company .. 43,425 170, 746 51 Pacific Mill Company 7, 000 70, 000 00 French MiU 2, 082 49, 256 05 Union Mill and Mining Company . 13,200 73,839 52 Woodworth Mill 13,623 141, 998 26 Total yield. 90, 294 609, 632 63

LINCOLN COUNTY. Ores ivorJced. Alps Silver Mining Company 2, 778 1,430 122, 807 43 Bonanza 2 79 442 46 Blue Bell 80 2, 400 00 Clute.E. R 18 990 625 88 Chance 6 1,400 1, 829 55 Clymer 5 910 1, 013 15 Desdamona 58 510 3, 544 12 Day Silver Mining Company 1,124 1,604 80, 354 27 Failis 2 900 166 00 Hillside '. 150 7, 899 83 Jack Rabbit 11 1, 205 4, 282 86 Meadow Valley Mining Company. 1,285 1,057 88, 581 86 Mayfiower .'.. 80 1,284 1, 538 64 jSTational ' 10 583 90 ^Nevada 35 690 2, 226 32 Newai.-k 79 120 2, 869 45 Peavine 8 1,088 505 00 Pioche 15 1, 780 1, 270 94 Raymond &. Ely 2, 778 1,560 122,448 15 Sunbeam 12 1,860 1, 334 87 Techatticux) 477 400 30, 525 72 Total ores. 9,022 867 477,250 40 Tailings Avorked . 20, 621 154, 580 28 Total yield. 29, 643 631, 830 68

NYE COUNTY. Alexander Mining Comi^any. I, 055 127 72, 099 75 Clipper ^- 106 1 4,118 88 Gila :... 781 715 49, 238 34 Higlibridge 3 545 2.104 IL Illinois 424 1,884 47, 349 30

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298 REPORT ON THE FINANCES.

.: Production of gold and silver from the mines of tlie State of Nevada, ^ifc—Continued.

Quantity of ores . worked. jSTame of mine. Value.

Tons. Pounds.

NYE COUNTY^—Continued. .l^orth San Pedro 52 $3,016 00 Other mines 28 3, 080 11 P. Downey & Co 53 4, 028 00 Q. G. and Bunker Hill :.. 4,029 124, 684 20 Storm King 636 95 40, 955 86 Stonewall 78 1,630 4, 991 35 Tybe Consolidated 16, 414 426, 483 76 Ural Silver Mining Company 507 1,000 23, 359 89

Total ores 25,169 805, 509 55 377 6, 743 43 Tailings worked , 812, 252 I Total yield.- *.

STOREY COUNTY. I. 936 14, 040 00 Andes - 2,985 69,470 62 Belcher : 190, 786 900 15, 461,178 60 Consolidated Virginia - 207,194 1,485 17, 640, 060 32 California , 11, 706 187, 505 19 Chollar Potosi 9, 761 123, 690 83 Consolidated Imperial 133, .500 76 Crown Point 7,829 450 55, 274 24 Empire 3,968 1,100 1,102, 793 93 Justice 62, 852 1, 450 101, 426 13 Ophir ...... 2,484 1, 700 • 7, 452 66 Overman ,282 1,000 Trojan.....: , 7,749 70, 914 06 .Total ores... 508, 536 85- 34, 967, 307 34 83,563 1,000 811, 040 45 Tailings worked 592, 099 1,085 35, 778, 347 79 T0tal yleld

WHITE i'lNE COUNTY., 10 406 67 Copper Silver Glance .'... 18 631 50 Crescent 620 1,861 20, 978 94 Eberhardt and Aurora 1,120 00 Exchequer 32 1,336 4,152 61 Eagle and Crescent 479 1, 624 62, 795 09 Hunter Consolidated 1, 231 Kate Alice. 185 1, 665 00 jSTewark 6 1, 407 921 95 Osceola 6 1,000 266 25 Paymaster 1 4,452 1,541 319, 485 70 Prince ,. 38 1,330 2, 592 47 ' Pacific '. -... 793 500 17,190 00 Queen • 35 1, 651 7, 856 71 Stafford , •706 24, 926 80 Silver Wreath and Lookout 1 500 1,143 58 Star . 2,571 1, 000 158, 982 75 Tallahassee.: -. 13 1,911 920 28 Teacup 654 750 33,678 37 Twin 3 312 473 47

Total yield : 11, 861 1, 263 660,188 14

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DIRECTOR OF THE MINT. 299

Prodnciion of gold and silver from the mines of the State of Nevada, ^x.—Continued.

RECAPITULATION^.

Ores. Tailing? }. iName of county. Tons. Pounds. Value. Tons. Pounds. Value.

125 934 1, 558 $5 984 3^6 44 19 986 159 844, 791 57 Elko 15 607 1, 472,180 43 225 $3, 375 00' Humboldt 5 989 600 206, 616 22 18, 075 90,737 50 5, 720 1, 082 582, 584 45 90, 294 609, 632 63- Lincoln 9 022 • 867 477, 250 40 . 20, 621 154, 580 28 Nye 25 169 345 805, 509 55 377 6, 743 43 Storey 508 .536 85 34, 967, 307 34 83, 563 1 000 811, 040 45- White Pine 11 861 1, 263 660,188 14 Total 727 826 1,959 46, 000, 7.54 54 213,155 1 000 1, 676,109 29 Totfil ores 727, 826 . 1 9.59 46, 000, 754 .54 213,155 1 000 1, 676,109 29 Grand total • 940, 982 "959 47, 676, 863 83 ^

• STATE CONTROLLER'S OFFICE, Carson, Nev., August 26, 1878. I hereby certify tliat the foregoing is a true and correct statement of the yield of the mines of this State for the year commencing July 1, 1877, and ending June 30, 1878, as compiled from the quarterly reports of the several county auditors, filed in thi& department. Witness my hand and seal of office this 26th day of August, A. D. 1878. [SEAL,] W. W. HOB ART, State Controlle)\

UNITED STATES INTERNAL REVENUE COLLECTOR'S OFFICE, DISTRICT OP UTAH, September 6, 1878. SIR : In rex^ly to your letter of July 22,1878, inqumng as to the gold and silver yield of the Utah mines, I inclose statement of same for calendar year 1877, prepared by J. E. Dooly, agent of Wells, Fargo & Co. at this i)oint. It takes exact account of every thing save a small amount of gold- dust, the product of placer-mining in Bingham Canon, and gives a total of $5,588,538.60. The gold-dust spoken of would make it at least an even $5,600,000. About 7 per cent, of this is gold, the rest silver. It AAnll be noticed that about three-sevenths of the total yield Avas from milling or silver rock i)roper; four-sevenths from smelting or lead ores. For the first six months of .1878 the product of gold and silver from the latter source fell off £vs compared with the first half of 1877 about $360,000, owing to a drop of 50 to 60 per cent, in the price of lead, but the loss was more than made up by the increased product of the mills, particularly in the Leeds district, and the product from leaching-ores, so that the yield of gold and silver for 1878 is not likely to vary much from that of 1877. Increased attention is being given to purely gold and silver bearing mines, and the prospect is that the yield for 1879 will materially exceed that for either 1877 or 1878. Very respectfully, 0. J. HOLLISTER. Hon. H. R. LINDERMAN, Director of tlie Mint.

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300 REPORT ON THE FINANCES.

. . WELLS, FARGO & CO., Salt Lake City, Utah, January 1, 1878. DEAR SIR : We take pleasure in presenting to you a detailed statement, showing the production of gold, silver, and lead in this Territory for the year ending December 31, 1877, which we haA^e carefully i)repared and compiled:

Smelters. ^ 2 lead . "ocfl

H Tota l pound s

Chicago Smelter 122, 711 521 2, 710, 000 7 Conklin, Jones & Co 9, 000 45 315, 000 1 B. M. DuRell 150, 000 875 3, 675, 000 8 Frisco Smelter 27, 640 3 614, 701 4 "G-ermania Smelter 216,183 1,264 4, 944, 817 12 Hilliard Smelter . . 168, 813 932 2, 590, 263 4 Holden L. E. Smelter 159, 750 1,300 5, 72.5, 000 8 •Jordan Smelter < 40, 000 300 143, 000 3 Mather & Ceist . 417,120 2,185 10, 428, 000 8 Mingo Smelter , 166, 609 940 6, 099, 227 11 Milford Smelter 73, 846 193 1, 510, 232 6 B. W. Morgan 192, 660 1,325 3, 781, 232 12 Pascoe Smelter ...... 61,162 1,010 1, 820, 000 12 Ryan & Co 37,801 740, 230 3 Shumer & Co 31, 920 • 795,785 3 Waterman Smelter 89,183 — ll' 3,194, 000 8 Total : 1, 964, 398 10, 904 49, 086, 487

QUARTZ MILLS, NOKTHEliN UTAH.

Crismon Mammoth .... . 1,167 5,135 Ontario Silver Mining Company 1, 837, 734 Shoebridge Mill •. 34, 673 Wyoming Mill 28, 551 1,.155 Total 1, 902,125 6, 290

QUAKTZ MILLS, LEEDS DISTRICT.

Leeds Silver Mining Company 252, 364 Rock ClifP Mill 86, 668 Other Mills 16, 448 Total ....:.. 355,480

TOTAL GOLD, SILVER, AND LEAD IN ORES SHIPPED.

Omaha Smelting and Refining Company 16, 000 40 147, 000 Scott, & Anderson •... 104, 046 63 5, 614, 000 Saint Louis Smelting and Refining Works 9, 709 28 40, 900 Lavinia Mining Company '. 7,945 190, 693 Total . . . . . - 137, 700 131 5, 992, 593

RECAPITULATION. 4,359,703 ounces of silver, at $1.20, average price for 1877 $5,231, 643 60 17,.325 ounces of gold, at $20.60, average price for 1877 ,356, 895 00. 54,936,080 pounds of lead, at $60 per ton, average price.for 1877 . 1,648, 082 00 'Total value ...... ,!.. :.... 7,236,620 60

UNITEB ' STATES ASSAY OFFICE, Helena, Mont., September 20, 1878. SIR: In answer to your letter of the 20th of July, I have the honor to submit the following as the jdelcl of gold and silver of Montana Territory for the fiscal year ended Jnne 30, 1878: : Gold dust and bars shipped by express $2, 060, 511 Gold held by miners and taken out of the Territory by private hands 200, 000 Total gold...... ,...... , 2,260,511

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DIRECTOR OF THE MINT. 301

Silver ba.rs by express $1,119,635 Silver in ore-shipments 250,000 Silver in lead bars 300,000 Total silver 1,669,635 Very respectfully, your obedient servant, CHARLES RUMLEY, Assayer in Cliarge. Hon. H. R. LINDERMAN, Director of the Mint.

UNITED STATES ASSAY OFFICE, Helena, Mont, Se2Jtember 30, 1878. SIR : I have the honor to forAvard herewi th statement of the amount of the probable Droduct of gold and silver of Montana Territory for the next twelve months, compiled Tom statistics gathered from various camps throughout the Territory by Mr. John W. Eddy, clerk of this office. I am satisfied the statement will prove nearly correct. I am, sir, your obedient serA^ant, CHARLES RUMLEY, Assayer in Charge Hon. H. R. LINDERMAN, Director of tlie Mint.

Silver and gold mines of Montana. ^

Silver.—During the last twelve months more rapid and substantial progress has been nade in the development of mines and treatment of the ores than ever before in Mon tana. In many localities the character of the ores AAâs for a long time imperfectly un- lerstood. The surface-products gaAê little indication of Avhat elements might be found n combination Avhere the vein-matter AVas found solidified as depth AVas attained, and nany of tlie metallurgical methods adapted to the treatment of the friable surface-ores ^vere found altogether inadequate to reduce the refractory products reached in many places ouly a fcAv feet beloAv. ^ In some localities, notably Butte, the ores are sufficiently free to be milled without prcAîous roasting at i:)resent; but CA^CU there they are more rebellious below AAâter, and the mills axe being supplemented by furnaces that Avill complete the process necessary bo extract the precious metals. Development has progressed sufficiently to determine the probable permanency of bhe lodes, although deep mining is yet unknown, 500 feet being the exceptionally deep ^vorking in the Territory. The most prominent and productiAê silAêr-mining camp in bhe Territory at present is Butte, about fifty miles south of this point. On the 1st of iSfovember next about eighty stamps Avill be operating there, besides four arastras, on :)res generally good in gra.de, and in quantity abundant far aboAê the present capacity [or treatment. A furnace is noAv in process of erection for uiatting the heaA^y ores as aoAA^ done in Alma, Colo. It would not be an unsafe estimate to expect from Butte, in round numbers, one and. i half million dollars during the next tAvelAê months succeeding Sei:)tember 1 instant. The mines in the vicinity of Jefierson City haAê dcAêloped recently far beyond expecta- bion, a single one i)roducing at least 2,000 tons of excellent ore, Avhile the reduction- ^ôrks established there by the Montana Company are already beginning to show profitable results. At Glendale a leacliing process is added to their Avorks, and an increased amount of bullion ma,j be expected from that locality. ' Probable silver product from Butte $1, 500 000 Probable silver product from Glendale 1,250 000' Probable silver product from Philipsburg 350 000 Proba,ble silver product from Jefierson 200 000 Probable silver product from other i)laces 200 000- Or a total product of.... 3,500 000 reasonably expected fbr the year ending September 1, 1879. Gold.—in former times the enormously rich i)lacers of this region Avere its chief fittraction, and are still a source of la.rge income. In localities Avhere mines of this character haAê been exliaiUsted, or nea,rly so, the.deAêlopment of the A'arious quartz- lodes is beginning to supply the deficit. Requisite macluneryfor the j)roper reduction.

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302 REPORT ON THE FINANCES.

of the ores is rapidly supplying the camps AvhercAêr sufficient Avork has been done to render permanency probable. The Silver Creek District, recently made famous by the "Penobscot Bonanza,'' will .add probably not less than one million dollars to the gold product of next year. The ranking mines there are the Penobscot and SnoAA^di'ift, Belmont, Whippoor\Aall, Mount Pleasant, Bluebird, Leopard, &c. Forty stamps and tAyo arastras, besides apparatus for concentrating the mineral out •of the tailings, are UOAV in operation on rock, some of which, from the first-named mine, still aAêrages nearly one hundred dollars per ton. Silver Star district, about scA'ênty-five miles south from here, is also producing AA^CII Avith moderate facilities, and AAÎU add about a quarter million dollars to the gross i)ro- •duct of gold during the coming year. The rencAAêd actiAaty in mining has reached the Cable district, and Avork Avhich, OAAing to legal complications, has been suspended for a long time is UOAV rcAaved, and -about a quarter million dollars ou^ht to be realized from that locality. Other smaller camps are organizing in. many directions and, Avith advent of suitable facilities for the extraction of the metals from the ore, promise to yield generous returns for the outlay. From the placers not less than one and a half million dollars ought to be expected Avith an average supply of Avater for the season's work. Probable gold product from Silver Creek district $1, 000, 000 Probable gold product from Silver Star district ^.. 250,000 Probable gold product from Cable district 250, 000 Probable gold product from other quartz districts 500,000 Probable gold product from placers 1, 500, 000 Or a total gold product of 3,500,000 Teasonably expected for the year ending September 1, 1879. Total gold $3,500,000 'Total siWer 3,500,000 7,000,000 JNO. W. EDDY, Chief Clerk United Stf>tes Assay Office, Helena, Mont.

MINT OF THE UNITED STATES, Denver, Colo., October 1, 1878. SIR : In comx)liance Avith your request, I have the hoaor to report that from the be«t information at my command I find tlie bullion, product in. this State for the fiscal year ended June 30, 1878, to be as follows, \iz : Gold $3,366,404 .Silver $3,517,647 •Silver in ores 1,877,293 — 5,394,940 Total' $8,761,344 ^The silver product has largely increased since July 1, 1878. I liaA'^e further to report that I was unable to obtain any reliable information as to the general character of the mines in this State aud their probable production in the •future, but the continual discoveries of exceedingly rich mines aud their present yield w^ould indicate that the bullion resources of this State are inexhaustible. Very respeetfullv,- your obedieut servant, H. SILVER, Assayer in charge. Hon. H. R. LINDERMAN, Director of tlie Mint.

TJ':RKITORY OF ARIZONA, Exi-xuTiA'ii: OFFICE, Prescoti, July 27, 1878. SIR : In reply to your letter of inquiry of the 8th instant, this day received, I have the honor to report that Ave ha\'e no statistics in this Territory as to the production of -either silver or gold as will enable any one to arriN'e at any Aoj-y certain figures as to

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DIREeTOR OF THE MINT. 303 the amount of either; but from the best estimate that I can form from such facts as - have come to my knowledge, I place the production of each of said metals as given below. I haA^e the honor to be, A^ery respectfully, JOHN P. HOYT, Governor. Hon. H. R. LINDERMAN, Director United States Mint. ' •,

Silver bullion for year ending June 30, 1878 $4, 500, 000 Gold bullion for year ending June 30, 1878 500,000 Total...... _ 5,000,000

[Telegram.1 SAN FRANCISCO, October 28, 1878. To DIRECTOR MINT: Annual production of silver from Arizona mines estimated at three million dollars at outside. H. L. DODGE, . « Siqjerintendent Mint.

BUREAU OF AGRICULTURE, STATISTICS, AND MINES, Nashville, Tenn., July 9,1878. SIR: Your letter of yesterday, directed to Governor Porter, has been referred to me. The gold mines of Tennessee are worked only to a limited extent, and only when nothing better presents itself. The average yield per man per day does not exceed' fifty cents' worth of gold-dust, All the richest gravel has been washed OA^er, and the ainount of gold now taken out does not exceed $% 000. Very small quantities of this are sent to the mint, being used by local jcAvelry establishments. No silver-mines have yet been discovered in the Stat€. Respectfully, J. B. KILLEBREW, . Commissioner. Hon.'H.R. LINDERMAN, Director of the Mint.

UNITED STATES ASSAY OFFICE, Charlotte, N. C, September 28, 1878. SIR: In compliance with your request-of July 20, 1878, I haA^e the honor to report as follows concerning the character, the present rate of production, and the prospective yield of the mines in North Carolina: The gold-producing area of the State of North Carolina is not far from 25,000 square miles, but the portion productive on a working scale is considerably less, being about 12,000 square miles, and embraces the western half of the State. Gold is produced at intervals over this entire area. ' This stretch of conntry contains at least three dift'erent geological formations. The middle area is best described as granite or syenite, though neither of these terms give a precise description of the formation. - The eastern belt is made up generally of slates, mostly argillaceous, while the west ern is gneissoid in its structure, verging into hornblendic and mica schist and some minor mineralogical forms. Each of these areas has furnished veinsj placers, and true gravel deposits. About 140 mines of the precious metals are knoAvn to us in this State on which some work has been done. " The middle formation has been longest known, and, though the smallest in extent, has been Avorked the most largely and productive; its placers and gravel deposits Avere, for the most part,.exhausted a generation ago; only a few patches UOAV remain, and these chiefly because not convenient to water. With some exceptions the veins of this belt vary in Avidth from 6 inches to 4 feet, and as there is generally^a "front" and a ^/back" vein—i. e. tAvo parallel seams of ore- matt sr a few feet apart—Avith intermediate seams of ore-matter, the whole deposit is •of good width. The intermediate " country " is usually slaty, and the ore in the upper

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304 REPORT ON THE FINANCES.

part of the mines is also slaty, but in depth loses this peculiarity to a great extent anc shows a tendency to become more compact. Above the permanent Ava.ter-line, Avhich is raa'ely more than 40 feet from the top the ore is the highly altered, soft, hydrated peroxide of iron (broAvn ore as it is localh termed), Avith little of the sulphuret of iron or copper presen.t Avhich it originally con tained. This ore is easily mined, readily treated AAith chea,p apparatus, and the i)recious con te its extra.cted. to a high, perceiitage. Most of the knoAvn mines have been stripped of ore doAvn to the permanent AAâter line, only a fcAV pilhirs being left for support. Acco.rdingly, the resources of this natur( are not worthy of large dependence except many ncAv inines should be discoAêred. Tlie occurrence of sul.i:)hurets in la.rge pro];)ortio].i at oi: near tlie watei-line, togethe] with heaA^y bodies of Avater requiring expensive macliinery, presented a difficuli problem to our miners of twenty, yea-rs a,go, under the then conditions of mining work, and most of the mines Avere aba.ndoned a,nd still .i-emain so. All the belts enumerated exhibit these general characteristics, but AAîth some pecu liarities. In the eastern or slate belt the Avater line is frequently at a loAA'cr leA'Cl, the seams of ore are somcAvhat hyger and more slaty in their structure, and generally not sc readily distinguished from the bedded. .ma.sses in Avhicli iliey occur; moreoAêr the gold is more finely laminated, resembling gold-leaf, and from this peculiarity, floating ofl more easily OJI tlie waiter during treatinent. In the Avestern gneissoid area, immedia,tely bordering the central belt, the A'eins are mostly of great width, thirty feet not being uncommon, and yield abundantly low- grade ores; in their structure they pa,rtake of the bedded condition of the country to such a degree as to suggest the idea that they are beds, and not true A'cins, differing from their associates only in being more higlily charged Avith mineral ma.tter. In the mountainous region of the State, the mineral resources have ncA'ê]- yet receiA'cd much attention by reaison of difficulty of access; of the character of tlie auriferous Aêins Idttle can be said, but they a.re generally reputed to be nari'ow. Iron pyrites, and its altered terms, .form the chief mineral constituents of all the auriferous ores in. this section. Galena is occasionally found, but rarely in any con siderable quantity; as an ore it is .found in Avorking pro].)ortion only in the SilA'er HiU Mine, Davidson. County. Zinc blende, in. still siiRiller proportioji, is ^âl almost invari able accompaniment of Galena. Nickel and Cobalt ores a,re not knoAA^n to exist in Avoiking quantity, but they are frequently found in tra,ces iu maaiy sulphiirets. Coppei- is found in every mine ; the black sulpliuret (Chalcocite) occurs to our knowledge in quantity, only in the Chick mine in Moore County, and Peacock copper ore (Boririte) oidy at the Gillis mine in Person County, and at the Copper .Knob (Cap Creek) mine in Aslie County; both carry considerable gold a-nd silver. The chief ore of copper is the y el IOAV sulphnret (chalc<)]>yrite) with ii'on pyrites; at several mines it is found in such percentage as to constitute a. true copper ore and val- ua.ble for tluit metal independently of othe-r constituents, for example. Gold Hill,, Phcenix, Pioneer Mills, Ciosby, Kerns, and Catliey. None of tliese are now AA'orked, the- first excepted. Ai'senic and antimony (ire A'CI'V rarely present to a noticeable |M',r ceiit. In a AAôrd,. the ores of this, section arc refractory, chiefly'a^s the sulplriirets make tliem so. Botli the eastern ;|nd the westein belts liave la,rge areas of gravel, but in neither is; the extent of the deposits known accurately; the want of wa.ter has liitherto pre vented extensive Av<:)ik upon them. Tlie eastern gravel deposits a,re larger and deeper; the best known examples are the Portis mine in Franklin County, and tlie Christian mine in Montgomery County, lioth have been extensiA'cly w(;>i:ke

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306 REPORT ON THE FINANCES.

GEOLOGICAL ROOMS, • , Paleigh, N C, August 19, 1878. SIR: Your letter to the governor, ihaking inquiries about the product of gold and silver in North Carolina for the past year, has been referred to me for ansAver. From the best obserA^ation and estimates I can get, I put the aggregate product of our gold mines at $160,000. The silver mined in the State is too trifling in amount to be worth mention. Respectfully, yours, • . W. C. KERR, State Geologist. Hon. H. R. LINDERMAN, Director of the Mint.

OMAHA SMELTING AND REFINING COMPANY, Omaha, Nebr., August's, 1878. SIR: Replying to yours of the 12th ultimo., our silver output during the time men tioned, at $1.29.29 per ounce, was $2,715,624; gold, at $20.67.18 per ounce Avas $427,701. We cannot say exactly Avhere above came from; should estimate about as folloAvs:

Silver. Cold.

Per cent Per cent. Nevada ...... '. ^ . 55 85 Utah : .: - : - 25 5 Idaho and Montana 10 Idaho .. . 5 5 Colorado '. 5 2* Arizona and California 5

Yours, respectfully, . E. W. 'NASH, Secretary and Treasurer. Hon. H. R. LINDERMAN, ' Director of the Mint.

PITTSBURG LANDING, Bancho Los Medanas, Contra Costa County, California, September 9, 1878. DEAR SIR: Mr. Hamilton Smith has handed me your letter of July 20, sent to him through Mr. Glenny, of Nevada Bank, requesting some general information with refer ence to ^'the present condition of hydraulic graAêl mining in the State of California, &c." • As Mr. Smith's time is almost entirely occupied in connection with our Avorks, of which he is general manager, he has requested me to write yon in answer. Hydraulic mining in this State has approximated its maximum. The yield of gold from this source for 1878 will reach about $12,000,000. At an important and long-continued trial which took place during July and August last at Marysville, between the owners of land (plaintiffs) claiming to be damaged by d6bris from the mines and some of the hydraulic miners (defendants), much infomia- tion as to the yield of gold from this class of mines was elicited in the testimony from mine owners in Aârious portions of the State. The result of this testimony varied from $11,000,000 to $13,000,000, and it will be safe to assume$12,000,000 as the yield for 1878, from hydraulic, drift, placer, and river mining, not, of course, including any yield from quartz. It is in my opinion highly probable that this yield will slowly increase during the next, five years until it will reach $15,000,000, beyond which it will not increase-; but this yield, when reached, will continue as an aAêrage for fifty years or more thereafter. The gravel channels are now pretty well knoAvn and their limits well established; the principal mines on these channels are mostly owned and held by corporations with large, capital. Nearly, if not quite all of the outlets or points from which these chan nels can be reached and worked by deep and long tunnels are.held by these corpora tions, and the same maybe said of the water supply and reservoir sites, without which these graAêl channels are valueless, as they cannot be worked. To open properly a gravel or hydraulic mine, so that it can be worked profitably, is a work of many years, requiring a large outlay of capital, as in connection Avith the ownership ©f the mine, if it is to be worked, arises the necessity of bringing water, if water can be had, as well as the construction of reservoirs, if a proper site for the same

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, DIRECTOR OF THE MINT. 307

can be. found in the high mountains, to hold Avater during the long dry season when the streams are dry, or nearly so, as also the construction of long, deep tunnels through which to reach the bottom of the gravel channels and get rid of the water and gravel after the gold is extracted. * * * * * * . * The * * * Company were OA'-er ten years from date of organization engaged in buying mining claims and in constructing their works, and the * * * Company, have been, some scAên years engaged in the same AVork. During this time the two companies haAê constructed two enormous reservoirs, one requiring a dam of 100 feet height, and Avhich has a storage capacity of 1,000,000,000 cubic feet of Avater, the other requiring a dam 145 feet high, Avith a storage capacity of 800,000,000 cubic feet. Both of these reservoirs Avill be comjileted during the coming month of October. These companies have also constructed, the one 45 miles of canals, the other 75 miles, in all about 120 miles of canals over a very rough mountain country on the western slope of the Sierra NcAâda Mountains, to carry the water from these reservoirs to the mines. These canals haAê cost from $8,500 to $10,000 per mile, and, coupled under the reser voirs, furnish an average sui)ply of Avater to the mines of these companies of about 90,000,000 gallons of water j)er day during the yêar. " These comj)anies haAê also constructed four long, deep tunnels, varying from 3,000 to 8,000 feet in length, costing from $40 to $60 per foot, and the total amount expended by both companies is about $4,000,000 in gold coin, exclusive of interest. Work has progressed steadily since 1866. By the close of October of this year the construction account Avill be closed, as,the work Avill be finished. It must be evident that only permanency in the mines will justify such a large out lay, and it must also be evident that so large an expenditure, extending over such a length of time before returns are received, is beyond indiAddual means,.and.-can be precluded only through corporate organizations. •>f # •» a * * # It Avill be safe to assume the annual gross yield from these mines at $1,000,000 a year fbr the next fifty to seventy-fiAê years. The * * * Company's yield this year will reach $325,000. The mining operations of these three companies are the largest in the State, and I merely glAê you these statements (because I can vouch for their approxi mate correctness) as a memorandum showing how many mines must be in active operation, to produce the $12,000,000 or $15,000,000 yearly, at Avhich we estimate the gold yield from this class of mines. The scarcity of reservoir sites in the high Sierras, coupled with the large amount of capital and length of time required to aggregate in a proper locality sufficient mining ground, and construct the Avorks required to store and bring Avater to the: mines, and to open long, deep tunnels to reach the bottom of the gravel channel, and. to open u]) a hydraulic mine on a paying basis, will forbid any very important increase- in this class of mining. It is quite bkely, and indeed quite probable, that drift mining upon these gravel chan nels (Avhere they cannot be reached for hydraulic operations) Avill increase much more- rapidly in the future than has been the case in the past, OAAîng to the decreased cost- of labor and supplies. This dift mining consists in sinldng shafts upon the graveL channels (or in rare instances in reaching them with tuimels) from surface to bed-rock,, varying from 300 to 500 feet in depth, and then drifting out the gravel where it will pay, hoisting it to the surface through the shaft, and washing it in a sluice. The amount of material which can be hauled, and amount of gold extracted there from, as comj)ared with hydraulic operatijOns, is so small that the gross results cannot^ materially increase the gross yield of gold from gravel mining yearly. My conclusion, based upon an experience of nearly fifteen years in connection with hydraulic as AA^CII. as all other kinds of mining upon this coast, is, that the gross yieldl from gravel mines of all kinds in California will never exceed $15,000,000 a year, and that this amount AAîll, with certainty, be realized yearly for the next three or four generations. Trusting you Avill j)ardon the length of this epistle. Very respectfully, your obedient servant, L. L. ROBINSON. ^ Hon. H. R. LINDERMAN, Director United States Mint, Washington, D. C.

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EEPOET OF THE DIEECTOE OF THE MINT.

12 -p

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EEPORT

DIEECTOE OF THE MINT,

TREASURY DEPARTMENT, OFFICE DIRECTOR OF THE MINT, Novemher 11, 1879. SIR: I have the honor to submit the following report of the opera tions of the mints and assay-offices of the United States during the fis cal year ended June 30, 1879. The nine institutions subordinate to this bureau comprise the four coinage mints at Philadelphia, San Francisco, Carson, and New Oiieans, the mint at Denver operated as an assay-office, and the assay-officces at New York, Bois6 City, Helena, and Charlotte. The operations author ized by law to be carried on at the mints and assay-offices may be briefiy enumerated: 1. The receiving, melting, and assaying of gold and silver deposits, and paying from Treasury funds in gold coin or bars for gold deposits, and in silver bars for silver deposits, at all the mints and assay-offices. 2o The parting and refining of gold and silver bullion and manufac ture of fine bars at the coinage mints and the assay-office at New Y'ork. 3. The coinage of gold and silver bullion at the inints at Philadelphia, San Francisco, Carson, and New Oiieans. 4. The coinage of minor coins at the mint at Philadelphia. 5. The manufacture of medals and proof coin, and the execution of coinage-dies for all the mints, at the mint at Philadelphia. DEPOSITS AND PURCHASES. During the fiscal year the total deposits of gold and silver—including silver purchases—amounted to $71,179,654.65, of which $42,254,156.80 were gold, and $28,925,497.85 were silver. Of the above amounts $38,549,705.89 of gold and $26,934,728.56 of silver were of domestic production ^ $198,083.17 of gold and $10,607.79 of silver were United States coin; $1,069,796.89 of gold and $1,072,- 919.29 of silver were of foreign bullion 5 $1,498,819.71 of gold and $698,632.49 of silver were, foreign coin; and $937,751.14 of gold and $208,609.72 of silver were of plate and other manufactured articles. The deposits and purchases of gold and silver bullion, including re deposits, were as follows: SilA-^er depos Mint or assay-office. Gold deposits. its and pur Total. chases.

Mint at Philadelphia $9, 662,08 2 22 $9, 678, 094 23 $19, 340,176 45 Mint at San Erancisco 29, 440,45 6 04 13, 889, 428 81 43, 329, 884 85 Mint at Carson 318, 852 71 1, 020, 660 24 1> 33.9, 512 95 ivlint at Denver 410, 889 33 6,120 46 417, 009 79 Mint at ISTew Oiieans 67, 413 67 1,128,194 06 1, 195, 607 73 Assay-office at I^Tew York 11, 345,50 2 98 7, 019, 698 35 18, 365, 261 33 Assa.y-office at Bois6 67, 266 17 4, 218 19 71, 484 36 Assay-office at Helena 405, 471 16 324, 707 17 730, .178 33 Assay-office at Charlotte . 53, 947 83 397 21 54, 345 04 Total 51, 771, 942 11 33, 071, 518 72 84, 843, 460 83

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180 REPORT ON THE FINANCES. A number of the deposits made at the assay-offices found their way to the coinage mints or to different assay-offices in the form of bars and were redeposited, and, although not augmenting the net receipts, in creased the amount of bullion operated upon, either in the conversion of unparted into fine bars or in coinage, and this to the extent oi $13,663,806.18, of which $9,517,785.31 were gold and $4,146,020.87 were silver. PARTING AND REFINING. The amounts of gold and silver separated in the refineries of the coinage mints and the assay-office at New York were $20,759,549.97 of gold and $10,687,526.97 of silver, a total of $31,447,076.94, and were in detail as follows:

G-old. Mint. Pine ounces Value.

Mint at Philadelphia ' 46, 822. 657 $967, 910 24 Mint at San Francisco 517, 608.154 10, 69'9,910 16 Mint at Carson 14,134. 950 292,195 34 Assay-office at IsTew York. - - 425, 677. 468 8, 799, 534 23 Total. 1, 004, 243. 229 20, 759, 549 97

Silver. Mint. Pine ounces Value.

Mint at Philadelphia 321, 408. 01 $415 557 83 Mint at Snai !Francisco 4, 489, 622. 87 5, 804, 764 93 Mint at Carson ...... 282, 529. 46 365,290 61 Assay-office at Jfew York 3,172, 573. 80 4,101, 913 60

Total . 8,266,134.14 10, 687, 526 97

Total. Mint. Pine ounces. Value.

Mint at Philadelphia 368, 230. 667 $1, 383, 468 07 Mint at San Prancisco ' 5, 007, 231. 024 16, 504, 675 09 Mint at Carson ...... 296, 664. 410 657,485 95 Assay-office at New York - - - • - - - 3, 598, 251. 268 12,901,447 83 Total 9, 270, 377. 369 31, 447, 076 94

.. ._ ,. ,£) ., . . COINAGE. The coinage during the year amounted to $68,312,592.60, and con sisted of 2,759,421 pieces of gold, of the valueof $40,986,912 5 27,228,850 pieces of silver, of the value of $27,227,882.50; and of minor coins 9,620,200 pieces, of the nominal value of $97,798. The coinage at tbe different mints was as follows:

Mint. Pieces. Value.

Mint at Philadelphia: Gold coinage 936, 564 $11,329, 352 00 Silver coinage (standard dollars) 12,124, 500 12,124, 500 CO Sih-er coinage (fractional coins). 1,350 382 50 Minor coinage 9, 620, 200 97, 798 00 Total 22, 682, 614 23, 5.52, 032 50

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DIRECTOR OF THE MINT. 181 Coinage—Continued.

Mint. Pieces. Value.

Mint at San Prancisco : Grold coinage ...... '... • 1, 798, 500 $29, 329, 250 00 Silver coinage (standard dollars) -•. • 12, 722, 000 12, 722, 000 00

Total . . . 14, 520, 500 42, 051, 250 00 0 Mint at Carson: ' Grold coinage . . . 24, 357 . 328, 310 00 Silver coinage (standard dollars) • - *.. 1, 644, 000 1, 644, 000 00

Total 1, 668, 357 1, 972, 310 00

Mint at ^N^ew Orleans: Silver coinage (standard dollars) 737, 000 737, 000 00

Total coinage 39, 608, 471 68, 312, 592 50

The actual use of gold as part of the circulation, consequent upon the convertibility of United States notes into coin, it was anticipated would create a demand for the smaller denominations of gold coin, and during the last fiscal year there has been a larger coinage of eagles, half-eagles, and quarter-eagles than in any preceding year during a period of sixteen years. The coinage of eagles and half-eagles will be continued until the demand is satisfied; but because the cost to coin a given value of bullion is multiplied by every subdivision, and on account of greater loss by abrasion and inconvenience in use in large transactions, it is not considered desirable to coin a greater proportion of such denominations than actually needed by the public. The silver coinage has been almost exclusively of standard silver dol lars, of which.$27,227,500 were coined during the year, and the total coinage to November 1, 1879, has been $45,206,200. There was no coinage of trade-dollars or subsidiary coins except the striking of speci men pieces or proof-sets at the Philadelphia Mint. The total amount of subsidiary coin issued since the passage of the resumption act has been $42,974,931. The full amount coined was $43,994,931, but $1,020,000 in dimes was recoined into pieces of larger denomination, at the mint at San Francisco.

BARS. The. bars manufactured—fine and unparted—amounted to $22,022,- 614.79, of which $12,976,812.68 were gold and $9,045,802.11 were silver. They were made at the mints and assay-offices as follows:

Mint or assay-office. Pine gold. ^-P-*^gold. ^ Mint gold. Total gold.

Mint at Philadelphia , $89, 997 82 $89,997 82 Mint at San Prancisco $1, 798 29 1, 798 29 Mint at Carson Mint at New Orleans Mint at .Denver 413,103 06 Assay-office at New York. 6, 639, 213 41 $5,309,001 n 11, 948, 214 52 Assay-office at Boise 64, 280 00 64, 280 00 Assay-office at Helena 405, 471 16 405, 471 16 Assay-office at Charlotte.. 53,947 83 53, 947 83

Total . 6, 729, 211 23 I 938, 600 34 5, 309, 001 11 12, 970, 812 68

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182 REPORT ON THE FINANCES. Bars—Continued.

Unparted sil Mint or assay-office. Pine silver. ver. Total silver.

Mint at Philadelphia $125, 614 22 $125, 614 22 Mint fit Sa.n Prancisco 1, 555,184 63 $24, 012 75 1, 579,197 38 Mint at Carson Mint at New Orleans Mint at Denver . 2,165 50 2,165 50 Assay-office at New York . 7, 006, 828 98 7, 006, 828 98 Assay-office at Poise 6, 891 65 6, 891 65 Assay-office at Helena 324, 707 17 324,707 17 Assay-office at Charlotte .. 397 21 •397 21 Total ;, 687, 627 83 358,174 28 9, 045, 802 11

Fine gold bars were manufactured and issued onlj at the mint at Philadelphia and the assay-office at New York. Ofthe total amount of gold bars, $12,976,812.68,\he assay office at New York made $11,948,- 214.52, of which amount $8,754,734.26 were redeposited at the mint at Philadelphia, and $2,901,844 w'ere delivered to depositors for use in the arts and manufactures. The total amountof silver bars was $9,045,802.11, of which $1,555,- 184.63 in fine bars, made at the mint at San Francisco, were probably exported ; a.nd of $7,006,828.98, made at the assay-office at New York, $4,482,975 w^ere delivered for manufacturing purposes, and the balance received at the Philadelphia mint for coinage.

EIEDALS AND DIES. During the year there were struck at the mint at Philadelphia 114 medals of gold, 1,037 of silver, and 770 of bronze, the profits on which amounted to $2,493.36 5 544 proof-sets of United States coins were also made, and 905 coinage and medal dies executed. Full detailed statements of the foregoing operations will be found ih the appendix.

APPROPRIATIONS, EARNINGS, AND EXPENDITURES, The amount of the specific appropriations made by Congress for the support of the several mints and assay-offices of the United States for the fiscal year ended June 30, 1879, wa's $1,243,640, of which the sum of $1,175,249.50 was expended. The appropriatious and expenditures were as follows: A2:)2)ro2maiions.

CQ Mint or assay-office. •g cc fl C5 3 1 g 0 3 0 H Philadelx>hia $34, 850 $285, 000 $82, 500 $402, 350 San Piancisco - 24, 900 275, 000 87, 500 QC7 400 Carson ... 23, 550 80, 000 42, 500 """$8," 500" . 154,550 New Orleans 21, 40( 57, 000 30, 000 75, OUO 183, 400 Denver •.-. 7, 950 8,300 3,700 19 950 Assay-office, Now York 33,150 22, 500 9,000 64, 650 As.'saV-office; Helena 5, 700 7,000 • 8,5]5 21 "^IS Assav-oitice, lioise City 3,000 4,000 7 000 Assay-office, Charlotte 2, 500 625 3 J "^5

Total 157,000 734, 800 268, 340 83, 500 1, 243, 640

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DIRECTOR OF THE MINT. 183

Expenditures.'

New machin Contingent Mint or assay-office. Wages. ery and re Total. Salaries. expenses. pairs.

Philadelphia $34,850 00 $284, 764 10 $82, 495 73 $402,109 83 San Prancisco 24, 900 00 260, 990 84 75, 864 63 361, 755 47 Carson 23, 549 90 79, 999 38 21, 059 15 $8, 500 00 138,108 43 New Orleans 18,133 48 56, 298 91 24, 902 68 71, 257 88 170, 592 95 Denver 7, 950 00 8, 300 00 3, 345 41 19 595 41 Assay-office, New York 32,150 00 20, 843 50 7, 705 63 . 60, 699 13 Assay-office Helena 5, 677 14 5,104 26 7, 821 12 18, 602 52 Assay-office, Boise City 3, 000 00 2, 890 21 5, 890 21 Assay-office, Charlotte 2, 500 00. 624 91 3,124 91 Total 152, 710 52 716, 300 99 226, 709 47 79, 757 88 1,175, 478 86

The payment of the expenses of parting and refining atthe coinage mints and the United States assay-office. New York, is provided for by a general appropriation of the charges for these operations collected of depositors. The total amount received on account of parting and refining bullion during the fiscal year ended June 30, 1879, was $254,253.33. Included in this amount is the sum of $18,706.40 surplus bullion returned by the inciter and refiners of the mint at San Francisco and assay-office at New York, at the annual settlement of their accounts, and which sur plus arose principally from gold contained in silver deposits in quanti ties too minute to make any allowance to depositors individually, but which, when the deposits came to be operated upon in the aggregate,. were recovered. The following statement shows the amount of charges and expendi tures including gold wastage of the melter and refiners on account of parting and refining bullion atthe mints atPhiladelphia, SanFrancisco, Carson, and the assay-office .at New York, during the fiscal year ended: June 30,1879:

Charges col Mint. lected. Expenses.

Philadelphia - $5,556 81 $3, 560 71 San Prancisco 148,126 17 112, 953 17 Carson •. 5, 310 30 5, 809 72 NewYork 95, 260 05 75, 788 76

The gain, arising under section 3526 Eevised Statutes on the coinage of silver during the fiscal year ended June 30, 1879, was $3,287,446.09,. from which $17,439.48 was paid for wastage, $93,474.32 for expenses of distribution, and Of the remainder, the sum of $2,954,454.69 was paid into the Treasury. The profits on the minor coinage from July 1, 1878, to June 30, 1879,. were $31,292.33, from which $.1,299.97 were paid for transportation, and $775 for wastage.

PURCHASES OF SILVER BULLION.

Silver bullion has been purchased, during the year, at the coinage mints and at the. assay-office at New York, for the coinage of standard silver dollars. Authority was given to the sai)erintendents of the mints- at Philadelphia, San Francisco, Carson City, and New Orleans to pur-

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184 REPORT ON THE FINANCES. chase in lots of less than ten'thousand ounces. During the year about 1,000,000 standard ounces were thus purchased by them. Purchases in' lots of ten thousand ounces and over are made by the Director of the Mint, with the approval of the Secretary of the Treasury, upon the recommendation of a commission designated March 9,1878, consisting of the Director, of the Mint, Hon. H. F. French, Assistant Secretary of the Treasury, and James Gilfillan, Treasurer of the United States, Avho ex amine and consider all offers that may be received. The Director of the Mint and the Assistant Secretary of the Treasury are each required to keep a detailed record of all offers, and the action taken thereon. Prior to October 17, 1878, offers were received at any time. On that date, notice was given that offers for the sale of silver bullion, in lots of not less than ten thousand ounces, would be received and considered on Wednesday of each week. Owing to the large amount of silver bullion which had accumulated at the Philadelphia mint, it Avas deemed advisable to cease purchasing for delivery at that point, and bullion dealers were notified February 6, 1879, that, until further notice, offers for the sale of silver would be.con sidered for delivery at the mints at San Francisco and New Orleans only, and purchases, except by.the superiutendent, were suspended dur ing the remainder of the fiscal year. » . Notwithstanding the fact that the mint at Carson City is located but a short distance from the productive mines of the Comstock Lode, higher • prices were demanded for bullion deliverable at Carson than at San Fran cisco, and, in addition, the rates charged bythe express company for transportation of silver dollars were higher from Carson than from San Francisco. For these reasons, it was decided, with the approval of the Secretary of the Treasury, to suspend the coinage of the standard silver dollar at . the Carsbn mint, and instructions were given February 26, 1879, to the superintendent thereof to coin up as closely as practicable the bullion then on hand, and to cease purchasing uiider the authority previously ^iven him to purchase lots of less than ten thousand ounces, and to re tain only such number of workmen and adjusters as might be necessary to manipulate such gold bullion as should be deposited for conversion into coin or fine bars, and the silver bullion deposited for returns in fine bars. > About the time instructions discontinuing the coinage of silver dollars at Carson were given a slight demand arose at San Francisco for sil ver for export, Avhich, with the falling off* in the production, enabled bullion dealers in many instances to dispose of their bullion at higher prices than that which the department regarded as the full market price; hence the purchases at that point have for several months past been com paratively light, and at the close of the fiscal year the stock of silver bullion at the San Francisco mint was reduced to merely a nominal amount. The purchases of silver bullion for the New Orleans mint have, with the exception of some four hundred thousand ounces, been in lots less than ten thousand ounces, and consisted principally of Mexican dollars and old plate. When this mint was reopeued for coinage itwas expected that a considerable amount of silver bullion would be supplied from Mex ico, but these expectations have not thus far been realized. Notwith standing the fact that the department has off'ered to paj^ the bankers and bullion dealers in New Oiieans the highest market price for silver, deliv erable at the mint in that city, only two or three offers for the sale of silver have been made to the department by them, and in each case at

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DIRECTOR OF THE MINT. 185 a price above the market rate. In some instances offers have been re ceived from New York to deliver silver at New Orleans, but at prices above the market rate, and the offers, with few exceptions, were de clined. At the date of the passage bf the specie-resumption act, January 14, 1875, the amount of silver bullion belonging to the government in the mints at Philadelphia, San Francisco, Carson City, and the assay-office at New York, approximated 1,750,000 standard ounces. This and the silver subsequently purchased for the fractional coinage and for the standard dollar on hand and uncoined June 30, 1878, amounted to 7,111,059.07 standard ounces. From July 1, 1878, to June 30, 1879, the purchases, including silver parted from gold, were 21,334,245.96 stand ard ounces. The amount consumed during the fiscal year in the coinage of 27,227,500 standard silver dollars and $382.50 in fractional silver coin, including wastage (14,987.05 ounces), was 23,403,928.07 standard ounces, leaving a balance on hand June 30, 1879, of 5,031,376.96 standard ounces. The average London price of silver bullion from July 1, 1878, to June 30, 1879, was 50||- pence British standard, 925 fine, equivalent at average rate of exehange, 488.04, to 1.00534-4- per ounce United States standard, 900 fine. The average price of silver bullion purchased during the year was 100.96 + cents per ounce standard. The amount of silver bullion purchased, including silver parted from gold deposits, from March 1,1878, to September 30,1879, was 37,364,918.08 standard ounces, at a cost of $38,594,435.89, being an average monthly purchase of $2,031,286.10 worth of bullion. The coinage of silver dollars for the same period was 42,634,100, an average of 2,243,900 per month. The following statement exhibits the amount of silver bullion pur chased and parted from gold deposits at the respective coinage mints and the assay-office at New York, from July 1, 1878, to June 30, 1879: . Mint at Philadelphia. standard onnces. .Purcliased 7,441,391.02 $7,480,395 30 Parted 12,949.63 13,146 42 Total 7,454,340.85 7,493,541 72

Mint at San Francisco. Purcliased 10,831,730.83 10,924,846 72 Parted •- 75,438.76 77,007 36" Total...... - 10,907,169.59 11,001,854 08

Mint at Carson City. Piirckased. • 986,547.82 1,008,472 90 Parted 12,006 11 12,187 34 Total 998,553.93 1,020,660 24

Mint at New Orleans. Purchased 635,548.69 632,583 14 Parted 292.48 292 48 . Total 635,841.17 632,875 62

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186 REPORT ON THE FINANCES.

Assay-Office at New York.

Standard ounces. Purchased - ....-' 1,251,572.71 $1,300,044 73 Parted 86,767.71 91,715 33 Total 1,338,340.42 1,391,759 06

Reca2niulation. Total amount iiurchased 21,146,791. 07 21, 346,342 79 Total ainount parted 187,454.89 . 194,348 91 Total 21,334,245.96 21,540,691 70 ANNUAL ASSAY. The commission appointed under the provisions of section 3547 of the Eevised Statutes, assembled at the mint at Philadelphia and tested in the presence of the Director of the Mint the weight and fineness of the coins reserved from every delivery of coin made by the coiner to the superintendent at each of the coinage mints. The examination of the coins showed, and the commission reported, that in all cases, both in weighing of mass and single pieces, the weights were well within the legal tolerance, and the fineness of the coins, both melted in mass and individual pieces, exhibited a satisfactory conform ity with the law. In accordance with the provisions of section 3549 of the Revised St^at- utes, the commission verified the standard ounce weights with the standard troy pound of the mint of the United States, and upon com paring the weights used in the daily transaction of business with the standards they were found to be exact.

FACILITES FOR ASSAYING-. Specimens of gold and silver bearing ores, as well as other minerals, are frequently received by this office, for assay, from members of Con gress and individuals in various sections of the country. Under exist ing arrangements they are forwarded to the mints or assay-offices to be assayed, thereby causing delay in returns and interference to some extent with the regular business of those institutions. It is, therefore, desirable that the mint bureau should have proper facilities extended to it for assaying ores and specimens of foreign coins, and also for the purpose of making the monthly tests of weight and fineness of the coins issued from the various United States mints. At present these tests are made by sending specimens of the coinage of each mint to one of the other mints or to the assay-office at NCAV York, and the reports thereon are transmitted to this office j but it is desirable that this opera tion should be performed under the immediate supervision of the Director of the Mint. The necessity of having proper facilities for testing the weight and fineness of our coins, as well as to discriminate between genuine coin and well-executed counterfeits was apparent to my predecessor in office and upon his recommendation an. appropriation of $500 w^s made at the second session of the Forty-fourth Congress for ^^ fitting up an assay laboratory in the office of the Director of the Mint," but owing to a lack of room in the Treasury Building, no suitable place could be ob tained, and the appropriation remained unexpended excepting the sum of $19.50 paid for weights.

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DIRECTOR OF THE MINT. 187 The removal of the Bureau of Engraving and Printing to the new building now in course of construction for its accommodation, will no doubt leave an available room in the Treasury building which could be utilized for the desired purpose. I therefore respectfully recom mend that suitable legislation be requested at the ensuing session of Congress to provide means for establishing an assay laboratory in the office of the Director of the Mint. COINAGE OF MINOR COINS. Owing to the general increased business activity in the country an unusually heavy demand has been created for the minor coins, and the mint at Philadelphia has been called upon to furnish one-cent pieces in excess of its capacity for striking this denomination of coin, and at the same time execute the quota of standard silver dollars required by law. Of the minor coins, a sufficient number of 5-cent nickel pieces are held by the mint and Treasury to supply the present demand, and the same may be said of the 3-cent nickel piece, which, however, has never been a popular denomination of coin. ^ The three-cent piece (silver) was authorized by the act of March 3, 1851, entitled ^^An act to reduce and modify the rates of postage in the United States and for other purposes," and wa.s intended to fulfill a special purpose—the purchasing of the 3-cent postage-stamp. That it was not contemplated that they would be extensively employed for gen eral trade purposes is evident from the fact that the act authorizing their coinage made them a limited tender in payment of sums of thirty cents and under. From the small diameter and thickness of the coin it Avas found to be exceedingly inconvenient, and the actof March 3,1865, authorized the coinage of the 3-cent nickel piece. By the provisions of the coinage act of 1873 the coinage ofthe 3-cent silver piece and 2-cent bronze coin was discontinued, the 3-cent nickel piece being retained. In determining what denominations of coins will best meet the re quirements of the community for change purposes, the demands of the people and the experience of other and older countries are safe guides. Tlie history of the minor coinage since the date above mentioned, 1865, shows the nominal value ofthe 5-cent nickel pieces coined has amounted to $5,774,3455 of the 3-cent nickel pieces, to $750,192j andof 1-cent bronze pieces, to $1,259,625. The demand for the 3-cent nickel piece and its coinage for th^ last few years has been merely noininak The coinage of the 2-cent bronze pieces, during the eight years their issue was authorized, amounted to $912,020, and was not much less than the value of the, 1-cent pieces during the same .period, and largely ex ceeded that of the 3-cent nickel pieces for the fourteen years since their issue was authorized. In the coinage changes made by European nations that have adopted the decimal systein of coinage, such as the States of the Latin Union, France, Belgium, Italy, Switzerland, and Greece, together with Germany, Spain, Sweden, Norway, and Denmark, the minor coin divisions of 5, 2, and 1 were considered best adapted for general change purposes. A disturbance of the coinage of a country, either in the fineness, weight, or denominations, is a subject of grave importance, and should not be undertaken without careful consideration. In case any change should be contemplated in the coinage laws, I respectfully suggest for your con sideration the propriety of recommending the discontinuance of the 3-cent nickel piece and the reauthorization of the issue of the 2-cent bronze coin, and for the following reasons:

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188 REPORT ON THE FINANCES. 1st. That there has never been a demand to any considerable extent for the 3-cent nickel piece, the total coinage of which has amounted to only $856,122. 2d. The existing denominations of United States notes less than ten dollars are 5, 2, and 1, and have satisfactorily met the reciuirements of trade. No necessity for denominations less than ten dollars other than those seems to have arisen, and the same subdivisions for coins, less than the dime, would be equally serviceable. 3d. The amount of 1-cent pieces in circulation being already large, and the demand on the mint for a further coinage increasing, the issue of a 2-cent piece would probably enable the mint to meet the requirements ofthe people, and dijninish the coinage of 1-cent pieces, the demand for which can be more easil}^ relieved if the issue and free delivery of the 2-cent piece is authorized.

EXAMINATION OF THE MINTS AND ASSAY-OFFICES AND ANNUAL SET- • TLEMENT. In order to make myself acquainted with the condition of the mints and assay-offices as required by section 345 of the Revised Statutes, I visited all the institutions under the control of this bureau, except the assay-offices at Boise City and Helena. Section 3541 of the Revised Statutes requires that ^^ at least once in every year, and at such time as the Director of the Mint shall appoint, there shall be an accurate and full statement of the accounts of the coiner and the melter and refiner, at which time those officers shall de liver up to the superintendent all the coins, clippings, and other bullion in their possession, accompanied by statements of all the bullion deliv ered to them since the last annual settlement, and all the bullion re turned to them during the same period, including the amount returned for the purpose of settlement." The annual settlement required by this section has been made at the close of each fiscal year. Just before the close of the last fiscal year I visited the mint at Den ver, and weighed and counted the bullion and moneys at that institu tion, and made an examination of their books. I then proceeded to the Carson mint, and on the 30th of June arrived at San Francisco. I per sonally superintended the annua] settlements at the mints at Carson Cityoand San Francisco, and all the bullion and coin was weighed and counted in mj presence and the balances shown by the books verified. Eepresentatives from this bureau were present and superintended the annual settlements at the mints at Philadelphia and New Oiieans and the assay-office at New York, and .rendered reports to me in writing of the same. The annual settlements at the mints and at the New York assay-office were highly satisfactory, and the wastage of the operative officers dur ing the year was found to be far within the legal allowance.

PRESENT CONDITION OF THE MINTS AND ASSAY-OFFICES. The mint at PMladelphia.—This mint has been actively engaged dur ing the year in coining the standard silver dollar, in addition to the or dinary coinage of gold and minor coins. Difficulty has been experienced in procuring silver bullion for the coinage of the dollar at the other mints, and for several months past the capacity of this mint has been

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DIRECTOR OF THE MINT. 189

taxed to its" utmost in manufacturing the amount of dollars required by law. The coinage of silver ever since the passage of the resumption act has been continuously and unusually heavy, and but little time could be spared to repair and refit the machinery, the strain upon which has been exceptionally great in striking pieces of the size of the silver' dollar. The superintendency of the mint was continued under the charge of James Pollock until March last, when he was succeeded by A. Loudon Snowden, under whose management the efficiency of the mint in every department has been fully maintained, and alterations, repairs, and other improvements made which have increased its capacity. New ma chinery has been added to the machine or repair shop, which will en able most of the refitting to be done without removing the machinery from the building. The engines have been overhauled and placed in as good condition as the limited time would permit, andthe general condi tion of the buildingc, machinery, and working force is such as will en able it to meet the unusual demand for coinage of gold now on hand in the Treasury, in addition to the ordinary coinage of silver. Mint at San Francisoo.—Tliis institution is provided with every facility for executing a large amount of work, and is in a thoroughly efficient condition. Under the able and economical management of the present superintendent, the interests of both the government and depositors have been carefully protected. The coinage of gold has been fully kept up and prompt settlement made for deposits. The coinage of standard silver dollars was larger than at any other mint, and could have beeii readily increased if suffi cient silver bullion had been offered to the government at market rates. Mint at Carson.—This mint accomplished but little coinage during the year, and for several months was comparatively idle. The receipts of gold have at no time been great and almost entirely of the produc tion of the State of Nevada. The records show that of all gold depos ited at this mint during the last seven years, less than $100,000 was pro duced by other States and Territories, Although situated in close proximity to a large silver-producing sec tion of country, owners of silver bullion have been demanding a higher price for delivery at Carson than silver could be procured for at Phila delphia or San Francisco. At the second session of the Forty-fifth Congress an appropriation of $8,500 was made for the purpose of replacing the boilers and rebuild ing the boiler-house. This work has not yet been finished, and I re spectfully recommend that additional provision be made, not only to complete the edifice as originally planned, but to add a second floor to connect with and enlarge the refinery, the present capacity of which is limited by contracted room. Mint at New Orleans.—At the second session of the Forty-fifth Con gress provision was made for reopening this mint for coinage purposes. The refitting and furnishing of the machinery was delayed by the yel low fever epidemic, but as soon as it was safe to do so experienced me chanics and others from the mints were sent to superintend the repair-- ing of old and erection of new machinery, which had been procured. The superintendency was assumed by Henry S. Foote in December^ 1878, and coinage operations commenced February 20, 1879. The mint has not been worked to its full capacity, for the reason that like difficulty has been experienced as at San Francisco and Carson in procuring supplies of silver bullion.

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190 REPORT ON THE FINANCES.

Assay-Office at Neio Yorlc.—This institution is in as effective condi tion as the limited facilities of the building will permit. The present receipts of gold of foreign importation are greater than for any pre vious corresponding period of time, but notwithstanding the large amount of work performed, all demands for coin or fine bars in pay ment for deposits are promptly met. When the importance of this office is considered, situated as it is in the great mercantile and money center of the country, it is to be re gretted that better facihties are not at its command for rapid prosecu tion of business. Mint at Benver ; Assay-Offices at Boise, Helena, and Charlotte.—The operations of these institutions are limited by law to melting and as saying gold and silver bullion, and paying for the same from Treas ury funds. They are, as thus operated, chiefly of local benefit to the mining sections by enabling the miner to convert his bullion immedi ately into coin. They are all in a satisfactory condition of efficiency as far as their management is concerned. The mint building at Denver, which I personally inspected during a rescent visit to the Western mints, is in an unsuitable condition for minting purposes. The irregular and unequal settling of the founda tions has caused the walls to crack to such an extent as to render the edifice unsafe for the employes and the government property contained therein. Provision should be made, not only to restore the building, but to provide additional facilities for manipulating the precious metals. This mint is located in the midst of a prosperous and rapidly growing community. Being at the railroad center of connecting lines from the principal mining sections of the State, as well as from New Mexico, the wealth of precious metals pouring in should be treated there, and set tlement made with depositors. I estimate the production of Colorado alone to be at the rate of at least $15,000,000 of gold and silver per annum, and the present facil ities at the Denver mint for operating upon this amount of bullion are totally inadequate. In closing a review of the history of the Mint service during the year it would be incomplete without j)roper mention of the lamentable death on the 27th of January of my predecessor, Dr. H. E. Linderman, who lor more than twenty-five years had been connected Avith the mints, and, as Director, had been at the head' of the Mint Bureau since its creation in 1873. Monetary questions and the principles and practical details of coin age had for many years received his earnest and special consideration, and his careful researches had acquired for him a wide reputation, not only in this country but on the continent of Europe, where his reports and conclusions are quoted as authoritative by writers and statisticians. Mr. C. W. Fremantle, deputy master of the Mint of England, in his last annual report of the Royal Mint, says: In Dr. Linderman the American Government has lost a valuable ofBcer, who lias since 1873 exercised with great ability tlie supreme control over all the mints and assay offices of the United States, and has largely contributed, both by his writings and by ofiicial reports, to a more extended knowledge of the principles upon whicli coinage and currency should be based. REDEMPTION OF UNITED STATES NOTES AND SUBSIDIARY COIN. The'principal events relating to monetary affairs in the United States that have occurred during the last fiscal year, as the result of legisla tion, have been—

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DIRECTOR OF THE MINT. 191

First. The resumption of specie payments through the coin redemp tion of United States notes upon presentation to the Assistant Treasurer at New York; and. Second. Provision for the exchange of subsidiary silver coinage for full legal-tender money. The resumption of specie payments after a suspension is always an epoch in the monetary history of a country. The necessity of a temporary resort to irredeemable paper currency has been the experience of almost every commercial nation, and its re turn to a stable measure of value is a matter of rejoicing. Our own return has been accomplished in a manner exceedingly gratifying, with out disaster, and accompanied by no financial shock or crisis. The powers conferred upon the Secretary of the Treasury to prepare for resumption were ample, although it was declared by many to be im possible to accumulate in the country the necessary reserve of coin, with out contracting the volume of the paper circulation. On the first of January, 1879, the mints had added within two years $90,000,000 in gold and $50,000,000 in silver to the stock of coin, with comparatively but a slight reduction in the paper circulation, and since the first of January last, instead of there appearing to be a redundancy of paper circulation, tending to drive the specie abroad, the stock of coin and bulhon in the country has increased during the calendar year to the present time nearly or quite one hundred millions of dollars, with an actual increase instead of a diminution of the coin in the Treasury. Our experience in returning to specie jpayment without material reduc tion of the paper circulation seems to indicate that the depreciation of United States notes for the last eight years has not been due to their excess, but to their inconvertibility, and that resumption not only be came possible, but assured, as soon as the accumulation of a sufficient coin reserve in the Treasury was determined upon, and measures adopted for carrying that policy into effect.

EXCHANGE OF SUBSIDIARY COINS. Attention was called in the last annual report of the Secretary of the Treasury to the accumulation of fractional coin in certain localities and scarcity in others, and the recommendation made that their redemption in United States notes be authorized. It was there saia: The only way by which moneys of different kinds and intrinsic values can be main tained in circulation at par with each other is by the ability, when one kind is in excess, to readily exchange it for the other. This principle is applicable to coin as weU as to paper 'money. Action was taken upon this recommendation, and at the last session of Congress, by the act of June 9,1879, subsidiary silver coins were made interchangeable with full legal-tender money in sums or multiples of twenty dollars at the United States Treasury, and their legal-tender quahty increased from five to ten dollars. These coins were then received with reluctance by bankers and busi ness men, notably on the Pacific coast, where they were rated 8 per cent, below full legal-tender money. The effect of the law has been to bring these coins to par. Since the passage of the act, and up to November i, there have been $12,172,601.70 presented for exchange for other money. But for the retarn of the old coinage from foreign countries the demand upon the Treasury for sub sidiary coins for circulation would equal the current deposits for ex change.

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192 REPORT ON THE FINANCES. The principle that a nation should receive for public dues, and in exchange at its Treasury for its legal-tender money, all subsidiary or token coins that it has issued, was discussed and approved by the dele gates of the States composing the Latin Union at their late monetary conference, and unanimously agreed to.

INTERNATIONAL MONETARY CONFERENCE.

It is to be regretted that the efforts of our government to adopt by international agreement a comnaon ratio between gold and silver, and establish the use of bi-metallic money, failed in its object. The commissioners appointed by tlae United States and the principal European nations met at Paris in August, 1878, and the subject pre sented received the attention its importance demanded, and was.fully and abty discussed. . From the report of the proceedings of the Conference it appears that an opinion was generally prevalent in Europe that the change in legisla tive action and public sentiment in this country resulted from a selfish; interest in maintaining the price of silver, from its having become an important element of production, and it was not realized that a continued decline in the value of silver would result more disastrously to the wealth of Europe than to the United States; that Europe could not so well bear a loss in the money supply as the United States with its iinmense unde veloped resources. Although our delegates failed to secure any Tecommendation to the respective governments represented at the Conference, for the use of gold and silver at a common relative value, their efforts were not without practical and beneficial results. The discussions awakened and the information presented seem to have created a much more favorable tendency toward the use of silver as full legal-tender inoney, not only in the opinions of representatives at the Conference, but among leading financial writers. They are now begin ning to realize that this subject is viewed in this country rather from its effect upon general business than its relations to the product of an ex port insignificant in value compared with the staple products of the country; that the changed pubhc opinion results from " arguments show ing that the dangerous effect upon industry by dropping one of the precious metals from the standard of value, outweigh all theoretical ob jections to the bi-metalhc system; and that if it were possible for the leading commercial nations to fix by agreement an arbitrary relation between silver and gold, even though the market value might vary some what from time to time, it would he a measure of the greatest good to all nations." Prior to the meeting of the Conference it was confidently predicted by advocates of universal mono-metallism that— If the Conference meet at all its proceedings will amount to no more than a regu lated coiiv« rsation, which can be useful only so far as it may tend to dispel, more effi caciously than other methods, illusions and fallacies which have already been refuted over and over again. The facts and arguments presented by our commissioners tended to dispel illusions and fallacies directly the opposite of these suppositions. Apparently as the result of the discussion a great change has occurred and is progressing in public opinion and in the expressed views of public men more favorable to bi-metallism. Particularly is this the case in the two leading nations favoring the single standard, Germany and England.

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DIRECTOR OF THE MINT. ol93

Germany has suspended the further sale of silver, and some of her statesmen question the wisdom of demonetization. In less than a year after the meeting of the Conference (the following May), Mr. Henry Hucks Gibbs, late governor of the Bank of England, and one of the representatives of the English Government to the Con ference, wrote to that distinguished advocate of bi-metallism, Mr. Henri Cerniischi-^ 1 am gone ovtr lo the enemy and am going to attack, with you, the solid ramparts of mono-metallism. These words are indicative of the revolution in public sentiment, and are especially significant coming from one who refused to concur in the views of our representatives. Subsequently he publicly announced his change of opinion upon ma ture examination, and, at the close of a pamphlet lately published by hira, says: I have expressed in it conclusions which differ very widely from the siiirit of the report ofthe proceedings ofthe Paris Conference presented to the government by my colleagues and myself. I fnlly concurred in that report; but the more I have, since then, tliouglit over the subject ofthe Conference the more I have been led to^ distrust some p.art of our reasoning, and to doubfc in part the Avisdom of the conclusion to Avliich we came. In no case was it to be expected that the Conference would have simply affirmed the original resolutions of tlie connnissioners of the United States. Indeed, the evil from which we suffer had not at that time pressed so strongly upon the minds of Englishmen as it has since done, and iiublic opinion was less prepared than I think it now is^f o look with favor on any change which might promise to alleviate it.

MONETARY STATISTICS. In addition to procuring and presenting the usual statistics of the production and circulation of the precious metals in. the United States, the inquiry has been widened and pains have been taken to obtain sim ilar information in regard to the production, coinage, and consumption of foreign countries. Possessing richer and more extensive mines of gold and silver, and appropriating a larger amount for coinage and manufactures than any other country, the yield of the American mines and the disposition of their product is of great interest to our people, and closely Avatched in. otlier parts of the world.

THE PRODUCTION OF THE PRECIOUS METALS IN THE UNITED STATES., As will be seen, the production of 1879 is considerably less than that of the preceding year. It has resulted from the diminished yield of the- mines of the Comstock Lode. A depth has been reached 1,000 feet be low the bed ofthe Carson River, and impediments are encountered from accumulations of water and from the oppressive temperature, which discourage and have retarded vertical exploration. This has caused, a falling off in the total yield of the State, from the production of the pre ceding year, which, as officially reported, in 1878, was $47,076,863 of both gold and silver, but whii.'h for 1879, J. F. Hollock, the State con troller, reports to be only $ 19,305,473.97. The hope of finding similar deposits or a continuation of the large ore-body of the ^'bonanza inines" in the lower levels of contiguous mines has not as yet been realized. Although the production of Nevada will be large and continuous for many years, it does not appear probable that the mines of that Sta.te will make such enormous contributions to the mineral wealth of tke countr/as they have ih previous years. 13 F

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194/ REPORT ON THE FINANCES. This decrease has been in part compensated by the results of the more thorough exploration of the mining regions ofthe Rocky Mountains, especially in Central and Southern Colorado. The production of that State was at least six millions greater in the last than in the preceding year, and will probably furnish an undiminished, if not increased, amount of silver in the future. While in Colorado inspecting the Denver Mint, I took occasion to visit the mining region in the vicinity of LeadviUe, and to obtain informa tion bearing upon the question of its present and future production. There is no doubt of mineral deposits of great richness existing in that portion ofthe State, Avhich are easily mined, and from which the ore is extracted at comparatively little expense. The deposits extend over a very large area. The smelters at and in the vicinity of Leadville have reported to this oflice the production of about 4J milhon dollars from the commencement of smelting in the latter part of 1878 to August, 1879,-and it is esti mated that in addition to this product upwards of 5J million dollars' wortli of high-grade pre have been shipped to other works for treatment, making a total production for the Leadville district of about 9| million dollars since the discoveiy of the carbonates, about two years ago. The rate of the out-turn of the inines is not only likely to continue for some time, but to increase as the mines are further developed, addi tional smelting-works put in operation, and increased facilities i^r ship ping extended to that section. After careful inquiry and consideration of the yield of different local ities and mines in the United States, I have estimated the total produc tion of the precious metals in the country for the fiscal year 1879 at $79,712,000, of vvhich $38,900,000 was gold and $40,812,000 silver. As nearly as can be ascertained from official reports and other reliable sources, the production was derived from the mines of the States and Territories as follows:

state or Territory. Gold. Silver. Total.

Californica i $17, 600, 000 $2, 400. 000 $20, 000, 000- Nevfidci 9, 000, 000 12, 560, 000 21,560,000 Colorado . . 3, 225, 000 11, 700, 000 14, 925, 000 Montana " 2, 500, 000 2, 225, 000 4,725,000 Idabo 1, 200, 000 050,000 1, 850, 000 Utah 575, 000 6, 250, 000 6, 82.5, 000 Arizona 800,000 3, 550, 000 4, 350, 000 New Mexico 125, OCO. 600,000 725, 000 •Ore*^'on 1,150,000 20, 000 1,170, 000 Washington •. 75, 000 20. 000 95, 000 Dakota 2, 420, 000 10, 000 2, 430, 000 Micliignn (Lake Superior) 780, 000 780, 000 Nortli Carolina . 90, 000 90, 000 Oeorgia 90, 000 90, 000 Other sources 50, 000 47, 000 97, 000

Total 38, 900, 000 40, 812, 000 79, 712, 000

In the report of the Director of the Mint for 1874, a table was pub lished which had been prepared by R. W. Raymond, United States Com missioner of Mining Statistics, showing the production of gold and silver in this country from 1848 to 1873. I am unable at present to.re> view the data from which this table was prepared or to vouch for its accuracy, but it seems to be desirable that these estimates should be brought up to date. The following is an approximate estimate of the domestic production for the last six years, it is condensed from a table appended to this

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DIRECTOR OF THE MINT. 195 report, and embraces the entire product of each year, unless a larger amount has been used in the arts or bullion has been clandestinely ex ported, of which there is no proof or reasonable suspicion: Domestic production of gold and silver, 1874 to 1879.

Piscal year ending June 30. Gold. Silver. Total.

1874 $33, 490, 902 $37, 324, 594 $70, 815,496 1875 ... 33, 467, 856 31, 727, 560 65,195, 416 1876 .. ... 39, 929,166 38, 783, 016 78 712 182 1877 46, 897, 390 39, 793, 573 86, 690, 963 1878 ' 51, 206, 360 45, 281, 385 96, 487, 745 1879 ------38, 899, 858 40, 812,132 79, 711, 990

243, 891, 532 233, 722, 260 477, 613, 792 • These amounts were 'ascertained by adding to the amount of domestic bullion purchased or deposited for coinage during the year the amount of domestic bullion exported, consumed in the arts and manufactures, and stock of bullion remaining in the country. The value of the gold and silver contained in argentiferous ores ex ported in the last six years has not been included in this estimate. Their total gross value for the whole period Avas little more than a million dollars, and it is impossible to ascertain how much of this val uation was goldj silver, lead, or copper; and shipments have gradually decreased until, during the fiscal year ended June 30,1879, they amounted only to $148,195. The statistics of the production of G-ermany, France, and England include these ores in the reports of the value of gold and silver produced in those countries from Spanish and American ores. DISPOSITION OF DOMESTIC PRODUCTION. A reliable test of the accuracy of estimates of total production is their agreement with the statistics which show the disposition annually made ofthe precious metals. Nearly all of the gold and a large portion of the silver produced in the United States during the last ye^r was coined at the mints or used in domestic manufactures, arts, and ornamentation. The surplus was exported to non-producing countries. The amount annually used for coinage and exported is readily ascer tained. The Mint records show the one and the customs returns the other. Foreign coin and bullion are now reported separately from domestic. But to obtain accurate statistics of the amount annually consumed by abrasion or loss of coin, and used in the arts, manufactures, and orna mentation is a very diihcult task. The annual consumption or appro priation of the precious metals for the latter purpose was placed bv Humboldt, in 1803, at $6,000,000 for France and $23,000,000 for Europe.. Mr. William Jacob, in 1831, from a careful review of the various occu pations using gold and silver in manufactures and ornamentation, made the annual consumption in the British Kingdom, for other purposes than coin, to be gold of the value of $8,183,000, and silver $4,100,000. His. conclusions for Europe, then, were that gold and silver were thus annu ally used to the value of, in— GreatBritain $12,285,000 France » 6,000,000^ Switzerland 1 1,750,000 The remaining countries ..>. ,..--,. 8,025,000 28,060,000

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196 REPORT ON THE FINANCES. He estimated that the United States consumed one-twentieth part as much as Europe. He placed the consumption for these purposes in both Europe and America, at $29,466,250, leaving for coinage as money but lOJ millions annually of the 40 millions then regarded as the world's annual production. ' ' ' The estiinates of the amount of gold and silver annually consumed in the United States in the manufactures, the arts, and ornamentation at the present time widely vary. In computations heretofore made by this office it has been placed at $5,000,000, and at the highest $6,000,000, while in the report of the Silver Commission it was given as a conjecture that the annual con sumption of silver was $10,000,000 in the United States for the arts and manufacturing purposes and $50,000,000 in all countries outside of Asia. In order to arrive at an approximate estimate of the consumption of gold and silver in the United States, I directed an exainination to be made at the mints and assay-offices manufacturing fine bars, of their books for the last six years, and a report to be made of the amount of fine bars of gold and silver prepared and issued for manufacturing pur poses. The reports show that during the above period of time there were issued for manufacturing purposes $21,879,040 of gold, and $22,250,283 of silver, being an annual average consumption of gold bullion obtained from the New York assay-office alone of $3,646,506, and $3,708,380 of silver bullion. The ainount paid out at that office for these purposes during the last year was $2,901,844 of gold, and $4,482,975 of silver. .Fully one-half of the total bullion product of the country is parted and refined by private enterprise, and a considerable portion of the gold and silver used by manufacturers comes from such refineries. I have . assumed that one-fourth of the total consumption for this purpose is of bullion other than New York assay-office bars. This is a moderate esti mate for the additional amount, including, as it does, all supplies from private sources and refineries and bars issued by the coinage mints and by the other assay-offices. . I have attempted to secure further statistics of the consumption in the United States by addressing circular-letters to all manufacturers whose addresses I could obtain, who consume gold or silver in the prep aration of chemicals and ih the manufacture of jewelry, watch-cases, and other solid or plated wares. The circular referred to requested that they would specify the various forms of the metals used, whether United States coin, foreign coin, and old manufactured articles reworked or -bullion. The replies that have been received, while incomplete as to the total consumption, are valuable in exhibiting the proportion of the different specified forms used, and also show that the gross amount .would be in excess of estimates previously made. The total consumption reported is as follows:

a . •i cs 02 PI s 1-9 a £-S ' • i

• 'cS • -g ;^ cj.S 9^ o 0 • o- w H Gold ...... $1 473,259 $380, ICG $3; 989, 081 • $5, 848, 500 Silver 179, 905 144, 239 2, 288, 588 2, 612, 733

Total 1, 653,164 530, 399 6, 277, 669 8, 461, 233

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DIRECTOR OF THE MINT. 197 Out of 3,506 addressed j 1,401 replies were received; and of the latter, 448 were manufacturing and consuming gold and silver, and reported the above amounts; leaving 2,105 not heard from. It is obvious that the estimates of this office are not in excess of what probably would have been reported as the actual amount of the precious metals used, had complete and full returns been made. From, all the information obtained, it may be safely assumed that the annual consumption in the United States of precious metals in all forms now averages seven million dollars of gold and five million dollars of silver, making a total of twelve million dollars; and fuller statistics may show a greater amount thus used. In estimating the amount of domestic production appropriated annuaily for this use, I have added one-third to the value of suich bars furnished from the New York assay- office, which gives the following consumption for the last fiscal year: Gold, $3,869,125, and silver, $5,977,300; and an average annual con sumption, for the last six years, of gold, $4,458,104, and silver, $4,854,527. The annual coinage export and consumption of bullion xiroduced in the United States (not including old plate and coin) for the last and five preceding years, appears, from data received, to be as follows:

Exported (re Used in arts ported by Total. Fiscal years. Coinage. and manu JBureau of factures. statistics).

1874 .'. $25, 034, 031 $4, 578, 328 $3,878,543 $33, 490, 902 1875 25, 851, 983 5, 382, 098 2, 233, 775 •33, 467, 856 1876 , 33, 887, 086 4,153,184 1, 888, 896 39, 929,166 1877 42,125, 662 3, 087,192 1, 084, 536 46, 897, 390 1878 45, 922, 340 5, 078, 701 205, 319 51,206,360 1879 35,005,959 . 3,869,125 24, 774 38, 899, 858

Exported (re Used in arts ported by Total. Fiscal years. Coinage. and manu Bureau of factures. Statistics.)

1874 ' 0 $5, 764, 538 $4, 406, 500 $27,153,490 $37, 324, 594 1875 10, 291, 805 4, 237, 841 17,197,914 31, 727, 560 1876 : 19, 730, 654 3, 812, 018 15, 240, 344 38, 783, 016 1877 ; 24, 543, 939 3, 774, 240 11, 475, 394 39, 793, 573 1878 25, 036,188 5,210,1.52 . 15, 035, 045 45, 281, 385 1879 22, 951, 768 5, 977, 300 • 11,883,064 40, 812,132

COIN CIRCULATION OF THH UNITED STATES. In preparing estimates of the amount of coin in the country, we have official records of the coinage and of the iinports and exports of coin; we also have approximate returns of the amount of coin melted for man ufacturing purposes. To complete the inquiry as to the coin circulation of the country, it is necessary to consider what amount of coin, foreign and domestic, may have been personally brought by immigrants, and, therefore, not reported by the Custom House. The secretaiy to the Commissioners of Emigration for the State of New York, H. J. Jackson, esq., states that 79,801 immigrants during the year 1878 landed at Cas tle Garden, and exchanged there $520,000 of foreign coin. The average

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198 REPORT ON THE FINANCES. would be $6.50 per indiyidual, or $32.50 per family. Assuming that an equally large amount of American coin, obtained by exchange at home, would be brought by immigrants, and also that a small amount of for eign coin not exchanged at New York would be taken by them to their place of destination, fifteen dollars may be estimated as the average sum brought by each immigrant and not reported in the custom-house re turns. The larger estimates heretofore made do not seem to distinguish be tween cash represented by dralts and bank bills, or even personal as sets, all of Avhich must be disregarded in statistics of coin importation; an official statement ofthe average " cash means" is too indefinite. From the foregoing data I estimated in 1874 (Congressional Eecord, vol. 2, p. 2746) that the amount of coin in the country at the commence ment of the calendar year 1873 Avas reduced to $132,000,000,^ and stood at its close at $143,000,000. This nearly coincides with the estimates of several statisticians made for the same period. The Director of the Mint in his first annual Keport stated the coin tlien in the country (No vember 1,1873,) to be about $140,000,000, of which $5,000,000 was silver. The difference between my estimate and that made by the Director of the Mint is comparatively slight and may be accounted for by the differ ence in dates. I have thought it proper to take the latter as the basis for continuing the estimates, year by year, to the present time.

bo 9 r^ g oa>,^ H s^ So^o riscal year ending June 30— cou n te d a ^1 ol d c 3los e fZ.3 ^1 o^ •§-§ t^ 'S •-f o:5:St>v o ^ Ci3 H 1873 $135,000,000 1874 $34, 853, 441 $7, 620, 695 *$27, 232, 746 162, 232, 746 1875 30, 727, 862 52, 628, 351 121,900,489 140, 332, 257 1876 35, 649, 931 22,161,121 *13,16.1,121 •153, 493, 378 1877 41, 699, 696 1, 312, 268 *40, 387, 428 193, 880, 806 1878 : 51 181 497 +2, 367, 267 *53, 548, 764 247, 429, 570 1879 39, 290, 009 228, 881 *39, 061,128 286,. 490, 698

5 • bSj • |2 O t^

Fiscal year ending June 30— li fa.g o S year . o f silve r coi n i ¥ th e countr y a t th e clos oi " a

*Grain. tLoss. I'NQt import. The number of immigrants during the six j^ears exceeded the emi grants by 761,803, ahd at $15 per capita brought upon their persons $11,500,000 of coin, but doubtless the loss from abrasion, use in manu-

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DIRECTOR OF THE MINT. 199 facture and the arts, has equaled the gain from this source, for there has been reported to this office froni manufacturers a consumption of about $1,600,000 of American coin per annum, the coin nsed by others not reporting would probably swell this amount to $2,000,000, or a total for the six years of $12,000,000; the one has, therefore, been taken as an offset to the other, and neither taken into consideration in preparing the foregoing estimates. It appears that during the last six years there was an increase of gold coin in the country of $151,490,698, and of silver coin $107,050,985, of which $35,801,000 are standard silver dollars, $8,500,000 trade-dollars, and $62,749,985 subsidiary coin. The amount of subsidiary coin exceeds the increase by coinage during the period referred to, and is accounted for from the fact that large sums have returned to us from abroad. From an examination of the customs records it appears that there has been an importation since July 1, 1877, of about ten millions United States silver coin, of which about 6,500,000 was subsidiary and over 3,000,000 trade-dollars. The countries from which this coin was received and the respective amoants are given in a table accompanying this report. The total amount of gold and silver coin in the country on the 30th cf June last was, by the above computation : Gold : .• $-286,490,698 Silver 112,050,985 Total -. 398,541,683 Since the close of the last fiscal year and up to November 1, the imports of gold at the port.of New York alone.have been: United States coin ^. [ $7,141,164 Foreign coin : 32,110,756 Bullion, &c 12,895,254 Total 52,147,174 Daring the same period there have been coined of domestic bullion $12,118,635 in gold and $9,405,370 in silver, which, added to the $7,141,164 of United States gold coin imported, inakes a total increase to the coin of the country since July 1 of $28,665,169. This, added to the stock of coin in the country at the end of the fiscal year, gives $305,750,497 of gold and $121,456,355 of silver, a total of $427,206,852, being aboat $9 per capita of coin. This exceeds by $86,206,852 the coin in the country at any other period, the highest previously having been in 1863, $341,000,000, and next to that in 1857, $315,000,000. In addition to the stock of gold and silver coin there was, oii October 31, in the mints and the New York assay-office, bullion awaiting coin age to the amount, of $49,931,035 of gold and $4,553,182 of silver, which, added to the coin, would 2.1 ve as the amoant of coin and bullion in the country October 31, 1879, $355,681,532 of gokl and $126,009,537 of silver, a total of $481,691,069. Should the unprecedented flow of gold continue from foreign countries, unchecked by its reaction upon prices here and abroad, the metallic circulation of the country at the end of this fiscal year will have swollen to over $600,000,000. Such result, however, is not to be anticipated, nor, so long as our own mines supply in abundance the precious metals, is it desirable that the needful amount of metallic circulation should be obtained by the deple tion of European reserves, to replenish which, at the first opportunity,,.

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200 REPORT ON THE FINANCES. the gold will be withdrawn as rapidly as it has been furnished, thus causing violent disturbance of monetary values, and uncertainty and embarrassment in commercial transactions. Of the specie circulation on the 1st of November, the Comptroller of the Carrency and the United States Treasurer report that $198,859,332.16 were held by the national banJ^s and the Treasury, leaving $162,200,108.60 of ,gold and $66,147,411.24 of silver in use by individuals, (corporations, and private or State banking and other institutions. The gold and silver was held and used as follows:

Silver. Cold. Total. Legal teuder. Subsidiary.

Treasury $119, 920, 670 40 $32, 532, 702 00 $17, 856, 898 76 $170, 310, 271 16 ISTational bauks 23, 629, 718 00 M, 919, 343 00 28, 549, 061 00 Other cii'culation 162, 200, 108 60 ""'l2, 673,"498 00 153, 473, 913 24 228, 347, 519 84 Total 305,750,497 00 45, 206, 200 00 ^76, 250,3 55 00 427, 206, 852 00

* Includiug standard dollars^ tIncluding trade dollais. MONETARY STATISTICS OF FOREIGN COUN'J RIES. Eeplies have been received from a number of foreign countries to which inciuiries were addressed respecting their coin and paper circu lation, production of precious metals, coinage, movements of gold and sih^er, and amounts consumed in the arts and manufactures. The docu ments containing these statistics will be found in the appendix. * Much of the information communicated is very valuable, and the rep resentatives of the United States abroad and government officials of those nations from which replies were received are entitled ,to thank ful acknowledgments for their promptness in responding to the inquiries. A brief review and abstract of the interesting and useful facts elicited may be of advantage, and are here presented in connection with reliable data gathered from other authorities. Great Britain.—The coinage of Great Britain during the calendar year 1878 Avas as follows.: ^ Gold.... £2,132, 245 ^ $10/376, 571 ^Silver 614,426== 2,990,104 And for the last ten years (1869 to 1878 inclusive): Gold £47,899,263==$233,101, 763 Silver 6,182,1.54= 30,085,452 The annual average coinage for the last ten years has been about $23,000,000 of gold and $3,000,000 of silver. In the gold coinage for the years 1877 and 1878 of £3,230,986 nearly one-half^ £1,557,500, was light gold coin sent from tlie Bank of England for recoinage. Of silver coined at the mint during the year 1878 only £215,500 went to the Bank of. England—the remainder going to Scotland, Ireland, and the colonies. The amount of silver coin issued by the Bank of England to the public during the same year was £187,000, while the amount of worn silver coin withdrawn by the banlc was £220,000. The withdrawals of Avorn silver coin by the Bank of England for recoinage during the last three years exceeded the value of the issues of silver coin to the public by that bank by £350,000, so that the silver coin in circulation in *Tlie docunients here referred to axe omitted for want of space, but they are printed /in tlie pamphlet copies of tke Director's report.

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DIRECTOR OF THE MINT. 201

England and Wales alone was less by £350,000 ($1,703,275) at the end of 1878 than at the beginning of 1876. Accounts kept of the waste on £8,186,451 of gold coinage, completed in 1878, showed, a loss of £543.6 per million, or .005436 per cent.] of which coinage £4,073,756, pr 65 per cent., was light gold coin. An examination of the last and preceding reports made by C. W. Fremantle, deputy master of the mint, shows that since 1860 silver has been coined of the nominal value of £9,140,094, and that during that period £2,951,120 of worn silver coin had been withdrawn and recoined, making a net increase in the silver coinage of £6,188,974, and a recoin age of 32.3 per cent, of the silver coined during that period. The total amount of silver coined at the British mint from 1816 to 1879 was £26,469,248, of which £13,573^900 was coined prior to 1848, since which the total amount of worn silver coin withdrawn was ^£3,983,338=$19,384,914. The gold coinage since 1816 has been £241,936,664=$1,177,375,042. Assuming the specie circulation of Great Britain to have been, as estimated by Mr. Fremantle, December 31, 1875, £118,560,000 of gold and £19,000,000 of silver, adding the coinage for the fiscal years 1876, 1877, and 1878 of gold £7,943,185, silver £1,257,300, deducting light coin Avithdrawn and recoined for the same period, gold £2,196,075, sil ver £884,915, and adding the net excess of the imports of British gold coin over the exports for the same years, £2,810,951, and deducting the net excess of exports of silver coin OAêr imports, £184,844, Avould make the circulation of specie on the first of the present year, gold $618,620,043, silver $93,376,169. Total, $711,996,212. Germany.—The adoption by the German Empire of gold as its mone tary standard, in lieu of silver previously recognized and coined by the individual States, and the AvithdraAval and sale of the existing silver coinage, inaugurated a financial revolution which has attracted the gen eral attention of all civilized nations, and unsettled values in almost every habitable part of the globe. This action was apparently the primal cause of the recent unusual fluctuations in the relative Aâlues of gold and silver, and of the coin- paratiAê depreciation of the latter, which has driven other European nations to close their mints against silver, and alarmed every country having a bimetallic system. Nor could it have been otherAvise, for within the last six years the new German coinage has draAvn from other nations and absorbed gold to the extent of $382,411,368. Germany has not only ceased to be a customer for silver, but during the same period upon a market already fully sup plied by increasing production, has thrown of her own stock of silver, at Available times and in Aâriable quantities, a total ainount up to May last of $149,702,000, Avhile there remain about $113,288,000 of the old silAêr coinage not yet withdrawn, the fear of which still depresses the silAêr market. The people of Germany have been suflerers ih common with other nations from this general unsettling of values. The state itself in the change of its monetary standard, as yet but partially efi'ected, has met a direct and considerable loss in the sale of the silver depreciated, by its action. The government sales of silver were suspended on May 19 last, and from late dispatches received from Mr. White, United States minister to Germany (in full in appendix), it appears that grave doubts exist in the Eeichstag as to the wisdom and policy of thecchanges already made and of the withdrawal and sale of silvev thalers remaining in circulation.

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202 REPORT ON THE FINANCES. Herr Yon Drehend, president of the Eeichsbank, stated in debate in last June, that the loss from the withdrawal and sale of sihêr coin had already amounted to $17,136,000, and that a further loss of from 19 to 23 million dohars would proba-bly ensue by continuing the withdrawal and sale. He further said, in substance, that while being used to formidable calcalations, and understanding well that reforms cannot be made in coinage without heaA^y sacrifices, he Avas startled b}^ these figures, and believed there were but few present who did not share his feelings in that respect, ahd that he considered it to be his duty to strongly recom mend to the imperial chancellor a suspension of the sale of sihêr, and that a real service Avould be done to the country and the whole Avorld if no more silver was allowed to be sold and the silver market permanently saved from the fears of German silver. From the report made to the United States minister on the 30th of August, 1879, it appears that the total gold coinage of Germany froni; 1871 to June 1,1879, amounted to $404,057,106, and subsidiary silver to $101,651,957, and that for 1878 the gold coinage had been $29,742,879, and the nominal value of the silver coinage was $1,562,463. The specie circulation at the close of the year 1878 amounted to $328,168,462 of gold and (1^214,939,957 of silver, of which $113,288,000 were in pieces of the old coinage, making a total specie circulation of $543,108,419. At the end of May, 1879, the banks held in specie $147,902,482. The paper circulation of Germany ainounts to $229,596,234, of Avhich $38,817,300 were of government issue and $190,778,934 bank circulation. The production of the mines since 1875 has been as folloAvs: Gold. SilNêr. 1876 281 Kilo. 139,778 Kilo. 1877 308 '' 147,612 " 1878 308 " 166,911 '' The Scandinavian countries.—The Scandinavian states—Norway, SAve den, and Denmark—have entered into a union similar to the Latin Union, gold lieing the standard and silver subsidiary. Since this union Avas efiected under the treaty of October 18, 1872, these countries haAê been engaged in changing their metallic currency from the single silver to the single gold standard. The coinage of the countries named in pursuance of the Scandinavian monetary treaty amounted on July 1,1878, to—

Gold. Silver. Total. Countries. Crowns. Dollars. Crowns. Dollars. Crowns. Dollars.

34. 754, 640 9. 314, 233 18,148, 229 4, 863, 724 52, 902, 869 14,177, 957 Sweden ' 31, 086, 910, 8, 331, 290 11,643,553 3,120, 471 42, 730, 463 11,451,761 ^Norway 9, 436, 650 • 2, 529, 022 4, 520, 000 1, 211, 360 13, 956, 650 3, 740, 382

Total 75, 278, 200 20,174, 545 34, 311, 782 9,195, 555 109, 589, 982 29, 370,100

The net imports of gold into Denmark from 1871 to 1875 amounted to $11,879,515, while the net exports of silver for the sameperiod amounted to $2,823,547. Denmark sold, during the three years ended June 30, 1876, silver amounting to $4,117,552. In changing from the silver to the gold stand ard Denmark has absorbed in five j^ears gold to the value of $11,879,515 and has disposed of, by export, silver ofthe value of $2,823,547.

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DIRECTOR OF THE MINT. 203 The circulation of the Scandinavian states has been estimated to be as folloAvs: .. Denmark. Paper circnlation •... $X8,900, 000 Gold, circnlation, including reserve in banks 20, 000,000 Sih^er circulation, subsidiary 4,863,000 Total 43,763,000 Norway. Paper circnlation 10, 300,000 Gold circnlation, including reserve in banks 10,000, 000 Silver circulation, subsidiary .' 1,200,000 Total 21,500,000 Sweden. Paper circulation :... 11,680,000 Gold circulation,- including reserve in banks 15,000,000 Silver circulation, subsidiary , -• 3,120,000 Total.- 29,800,000 The Netherlands,—Holland, like the Scandinavian countries, has been changing from the single silver to the single gold* standard. The change began on the 1st of July, 1875. The imports of gold dur ing the six years 1873 to 1878 exceeded the exports by $20,282,911 and the imports of silver exceeded the exports by $8,160,808. The coinage of gold for the two years 1873 and 1874, prior to the change of standard, amounted to only $195,400, while the coinage of silver dur ing the same period amounted to $1,913,722. The coinage of gold during the four years 1875 to 1878, since the change of standard, amounted to $23,666,601, Avhile the coinage of silver during the same years amounted to only $180,209. During the year 1878 no standard gold coins were struck at the mint, but the coinage of gold consisted of the commercial pieces (ducats) of the value of $199,250. The circulation of Holland is estimated to be as folloAvs: Paper circulation |73,230,000 Gold circulation, including bank reserve 20, 000, OOD Silver circulation 57,600,000 Silver circulation, subsidiarj^ •..,.. 380, 000 Total •. 151,210,000 Of the specie circulation nearly fifty millions is held by banks. The circulation of France and the Latin TJnion.—An examination ordered in France and Belgium to ascertain the character, date of coin age, number and A-alue of coin in circulation in those countries near the close of the year 1878, disclosed that 19,511 public offices in France held 1,009,559 pieces of gold coins valued at $3,257,596 and 1,213,406 silVer five-franc pieces of an approximate value of $1,213,000. In Belgium similar inquiries were made in regard to coins received in payment at the National Bank, its agencies, the state treasurer's at Brussels, and at all of the public offices of account. From an analysis of the results of these examinations, it was esti mated in the annex to the report made by the French commissioners to the Chamber of Deputies, that the number of five-franc pieces in circu lation in the states of the Latin Union maintaining specie payments was as follows: France - - 380,000,000 Belgium - 55,000,000 Switzerland , .30,000,000 Total 465,000,000

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204 REPORT ON THE FINANCES. The French commissioners in conclusion say: Sucli are tlie results reached by a careful examination. By these data the general, circulation would be 5-franc silver pieces in circulation in the throe states of the Union, 2,325 millions of francs. Divisionary silver with the afflux of Italian coins, 375 millions of francs. Gold coins, double of 5-franc pieces, 4,650 millions of francs ; total, 7,350 millions of francs. - It seems to have been assumed that the gold circulation of France and the other States of the Union was double that of silver, and the amount of gold coin, $3,257,596, found in the public offices in France, compared with the A-alue of the fiA^e-francpiece s found in the same offices, if a proper basis for estimating the total circulation, would indicate a proportion of gold more than double that of silver. But.the proportion of gold and sih'er coins in circulation may be very difierent from the proportion of those coins in the Treasury. There were in the Bank of France October 5, 1878, $226,700,000 of gold, and $202,500,000 of silver, which would indicate not much more gold than silver in circulation. An actiA^e circulation may consist of silver rather than gold. The Belgium investigation Avhich was based upon the character and number of coins used in inaking payments showed a much larger pro portion of silver than of gold. An examination of coins received in pay ment, instead of coins found in reserves and public offices, might have given difierent results in France. While doubting the accuracy of the exhibit, in default of better data, the estiinates given are accepted, and the circulation of France placed, as folio AVS: Prancs. Dollars. Paper 2,418,419,689 466,755,000 Gold 3,800,000,000 733,400,000 Silver, unlimited tender 1,900, 000. 000 366,700,000 Silver, limited tender 306,450,000 59,144,850 Total 1 8,424,869,689^:^1,625,999,850

. The estimate of the specie in circulation in Switzerland furnished by the Yice-Chancellor is given at $20,000,000, AA-liich, in addition to that in banks, $ 12,000,000, Avould make the total specie circulation but $32,000,000. This estimate is probably much too low, while that previously given sub mitted in the annex to the French report appears excessive, yet, as the latter was the basis for official action for the respective governments, if rejected for one country it should be for all. I have, therefore, in com piling the table of circulation given in the appendix, used the calculation of the report to the French chamber of Deputies. The remaining states of the Latin Union, Greece and Italy, have a forced paper circulation. In Greece the paper circulation amounts to $12,890,000, issued by the national and Ionian banks, Avhile the reserve of specie held by these banks amounts to $4,500,000. There is no mint in Greece, and its minor and subsidiary coins are supplied by the other states of the Latin Union. The i^aper circulation of Italy amounts to $135,000,000, while, the specie reserve in banks is only $17,000,000. Austria.—The dispatches received from Minister Kasson are of great value, as they show that eflbrts are being made by this empire to return to a specie basis and maintain the integrity of its paper circulation, while preserving, as far as possible, a coinage and circulation of gold and silver. The coinage during the year amounted to $2,600,563 of gold, and $13,906,258 of silver.

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DIRECTOR OF THE MINT. 205 The paper circulation was $322,938,854. During the year the mines of Austro-Hungary produced 543^ ounces of gold, and 935,243^ ounces of sihêr. Russia.—The information received through the Legation of the United States at St. Petersburg shows that the authorized paper circulation of the Bank of Eussia and its branches amounted in January last to $587,907,562, which has hot materially changed to the present time. The specie reserve held by the banks amounted on the 12th of June last to $110,500,000, all of which, with the exception of about three mil lions of dollars, was in gold. There are no official data in relation to the amount of gold and silver in circulation. There was produced fi'om the mines of Russia in 1877: gold, 2,515 poods; silver, 1,202 poods; total, 3,717 poods; equal in .Aveight to about 134,225 United States pounds. Austria, Russia, Italy, and Greece, although their banks hold con sideraible specie, use for circulation depreciated bank-notes, and to re sume specie payment would require large increase of gold or sihêr. Their respective circulations, as far as attainable, are presented with those of other countries in a table accompanying this report. Upon the estimate of 30 per cent, of coin reserAê to paper issued, the amount required to resume and maintain specie payments over and above the present coin reserAê of the banks, and not estimating the additional amount needed for general circulation, Avould be as follows:

Paper circula Required bank tion. Bank reserve. reserve. Deficiency.

Austria $322, 938, 854 $70, 560, 000 $96, 881, 656 $26,321,656 Russia. 587, 907, 562 110, 500, 000 176,372,268 65, 872, 268 Italy.:. 135, 000, 000 17, 000, 000 40, 500, 000 23, 500, 000 Greece . 12, 890, 000 4, 500, 000 •3, 867, 000

No returns have been received from Spain, Portugal, and Turkey. . Portugal adopted the gold standard in 1851, while Spain has practi cally conformed her monetary systeni to that of the Latin Union. The vala^. of the gold coined in Spain from 1861 to 1875, inclasive, was $140,291,716, and the value of the silver, $48,425,615. The value of the gold coined in Portugal from 1855 .to 1874, inclusive, was $5,116,470, and of the silA^er, $8,748,471. The circulation of Spain and Portugal has been estimated to be as follows: . Paper. Specie, including bank reserves. Spain $33,795,000 $200,000,000 Portugal 29,529,000 85,000,000 Turkey has a greatly depreciated paper circulation, estimated at about $100,000,000. Africa.—^But little information has been received from African coun tries. Two of them, West Africaland Algiers, conform their standards and circulations to the European nations of which they are dependen cies. Great Britain and France. There has been considerable gold imported into West Africa, the aA^erage ainount during the last three years annually exceeding the exports $1,250,000. The imports of gold in fifty-four years were $38,727,620, and the ex ports $10,309,425. The imports of ^silver for the same time were $2,683,200 and the ex ports $819,120. .

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206 REPORT ON THE FINANCES. Algiers has a bank circulation reported in July to be $8,350,000, with bank reserves of $3,270,000 iu gold, and 2,623,000 in silver, making a total of $5,893,000. The amount of coin in circulation was $9,000,000. In Morocco, no gold coins haAê been struck for 20 years. The export of gold dust from 1871 to 1875 was $8,900, and $12,500 in silAêr coin have been exported annually. Canada,—All of the colonies and dependencies of the British Empire, except the Asiatic, are supplied with sihêr coin by England. Canada has no mint, but silver coins of the denominations of twenty-five, ten, and ^Ne cents are provided by the liome government. The gold coins, in circalation consist principally of British coins. Notes similar to United States notes are issued by the Dominion, the total amount of which in circulation, on the 30 th of April last was $10,674,850.14. In addition to Dominion notes, the banks issue notes which amounted at the same date to $18,372,892.45, while the total specie held by the banks amounted to $6,291,2^5.48. Mexico.—The circulation of this country consists principally of silver, bank notes being issued but by a single institution, and too inconsiderable to be noticed. ' Both gold and silver are coined and exported in coin and bullion, although charged with an export duty of 5 per cent. The coinage for the year 1878 was— Of gold $689,688 Ofsilver. 22,112,680 and for 9^ years has been $8,456,601 gold and $193,966,699 silver, averaging annually a coinage of nearly $1,000,000 of the former and $20,000,000 of the latter. Probably the average production has been about the same amount. The exports for three years ending 1878 were gold $6,388,535, silver "3,373,039; indicating at this time a greater export of gold than the probable annual production, as estimated from the coinage. Central and South America.—The information receiAêd in relation to the States of Central and South America is very meager, with the ex ception of Colombia. In regard to the latter, Mr. Ernest Dichman, the United States min ister resident, has famished very complete information and tables of coinage and of imports and exports. pgThe bank-note circalation of Colombia at the close of the year 1878 amounted to $1,895,343, of which the banks held $362,047, togther with specie reserves of about $200,000 in gold and $1,500,000 in silver. The total specie circulation of the country is reported as $4,700,000, of which about $4,000,000 is silAW. The production ofthe mines of Colombia is about $1,000,000 a year in silver and varies between 3 and 5 millions a year in gold. The coinage of the mints for the ten years ended August 31, 1878, AA-as, gold, $3,026,499; sih-er, $2,195,591. The exports of gold and silver during the same period amounted to $19,775,210, while the imports of the same are reported as 79,780^^* kilo grams; but as the gold and silver are not separated, the value cannot be ascertained. The circulation of Yenezuela consists principally of foreign coin, and in Peru paper has driven specie out of circulation. Its paper soles Avere quoted last July at 53 per cent, discount. The paper circulation is esti mated at $13,098,820. No report has been received from Brazil, the only, one of the South

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DIRECTOR OF THE MINT. 207

American States which adheres to the gold standard. Its paper circu lation is estimated at $91,000,000. The Hawaiian Islands.—The amount of specie in circulation in the SandAvich Islands is reported by Mr. Morton, the charg6 d'aflaires ad interim at Honolulu, at $800,000'in gold and $500,000 in silver. There is no paper currency, but certificates of deposit are issued by the treasury for coin deposited. Australia.—As Australia is second only to the United States, of all the countries on the globe, in the production of gold, its monetary statistics are of great interest. Mr. O. M. Spencer, the United States consul-general at Melbourne, has communicated information of importance in relation, to the produc tion of the precious metals and the circulation of the banks of Australia later than any officially published in this country. The gold mines of Australia, like those of the United States, are yield ing a diminished annual supply, the amount for 1877 being only about two-thirds of the.production of 1873, and a still further reduction is re ported in the yield for 1878. The production for 1877 compares Avith the production for 1873 as folloAvs: Ounces. * Value. 1873 • 2,243,372 $42,779,908 1877 1,519,548 29,018,223 Decrease 723,824 13,761,685 The net exports of gold, although diminished, have not lessened in a corresponding ratio, OAving probably to the large stock of gold in the . country. The circulation of bank notes for 2J millions of people amounts to $21,604,936, for Avhich the bauks hold a specie reserve of $40,765,131. Japan.—The Jabpanese Government, after some years' eflbrts to main tain a gold standard, on the 25th of May, 1878, made the silver trade dollar of 420 grains of their currency a legal tender in payment of all public and private debts. Being four grains heaA^ier than the Mexican dollar, it was supposed, as was at one time belicA-ed in this country concerning our trade dollar of the same Aveight exported to China, that it would drive the Mexican dollar out of circulation. The experience in regard to both the American and Japanese trade dollars has been the same. Their bullion value being greater than that of the coin they Avere intended to supplant, instead of circulating to any considerable extent, they Avere melted and disposed of as bullion at their higher value. In November the coinage of the Japanese trade dollar was suspended, and in its stead the coinage of the silver yen of 416 grains Avas com menced and has been since continued. The coinage during the vear ending June 30, 1878, was yen of gold 357,578. and of silver 4,310,345. The total coinage of the mint at Osaca up to the 30th of June, 1878, is yen 82,785,397.63. The exportation of coin and bullion from Japan from 1871 to 1878 has exceeded the importation by $40,000,000, so that the country has comparatiA-ely but little coin in circulation; its paper having fallen from 8 per cent discount against gold in 1877 to 13 per cent discount against silver in October, 1878. The paper circulation amounts to about $143,000,000. Asia.—Nothing has been received from the commercial agents or

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208 REPORT ON THE FINANCES.

representatives ol our goA-ernment in India, and nothing of iinportance from any other Asiatic country. The absorption by those countries of the precious metals has been large and uninterrupted, and as the iin mense resources of India are further dcA-eloped the influx and absorption of treasure must continue. Eecent statistics of the import of treasure to Eastern nations, and especially to India, are presented in the appendix. From 1866 to 1878 the value of the merchandise exports of India was.. $2,963,199,854 Merchandise imports ... - 1,803,536, 003 Excess of nierchandise exports OAêFimports $1,159,663,851 Excesss of treasure imjiorts over exports , 453,249,202 LeaAîng a balance of exports over imports of 707, 414,649 Thus it appears that for the last twelve years the average annual im port of treasure into India was $45,500,000, and the average export for the same period $7,700,000, making the average yearly gain of treasure $38,000,000, by far the larger portion of which Avas in silA-er. From July 1,1873, to September 30, 1879, the exports of silver from the United States to China amounted to $59,361,557, and duringthe same period about $41,000,000 Avas exported from Europe to that country. Asia, Avith nearly double the population of Europe and America com bined, depends ahnost exclusiATêly upon the Western Continent for its supply of the precious metals. The annual import into Asia and Egypt of silver for the last thirty years has averaged $40,000,000. At the beginning of the century, according to Humboldt, they/took twenty-fiA-e out of forty-three millions of sih-er annually produced, and the remaining stock was insufficient to sui:)ply the requirements of sih-er for manufactures and change money. England in 1816, and the United States in 1853, depreciated their subsidiary silver coins, not on account * of the excess, but from scarcity of sih-er and impossibility otherwise to retain their sih-er coins from export to the East. There is no reason to apprehend that the demand of India and China for sih-er Avill decline. During the last tAventy-five years India has taken an average of $38,000,000, and China $9,000,000, making the average yearly absorp tion of silver by those nations $47,000,000. It is not unreasonable to expect that their future requirements will fully equal that amount. The silver coinage of India from 1835 to 1876 was equivalent to $958,769,275, an annual aA-erage appropriation of sih-er for coinage during forty-two years of $22,827,839, leaving $15,000,000 of the total average import for ornamentation and other purposes.

SUMIMARY OF THE STATISTICAL INFORMATION. It seemed desirable to group and tabulate the recent and valuable in formation forwarded by our legations from foreign countries, although incomplete, and to indicate the present and probable future production, consumption in coinage ""and the arts, the demand and the supply of gold and silver in those countries. . The eflbrt has been not to duplicate information already published and in the possession of the public, through the reports presented to Congress, and it is only reproduced when necessary to complete a sum mary of the statistics embracing the field of examination. In some cases the figures are based upon estimates, but unless so indicated, they are taken from official dispatches and publications, or recognized authorities. The exhaustive examination made by Dr. Soetbeer, published in the present year, shows the total production of the precious metals in all

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DIRECTOR OF THE MINT. 209 countries since the discovery of America, the comparative values of gold. and silver during that period, and their coinage since the year 1850. What is presented here will merely supplement the information con tained in that publication, and that presented in the report of the Silver Commission of 1876, and of the International Convention, lately pub lished by Congress. The statistics contained in those reports, as far as used, have, when practicable, been compared Avith the official reports, with the dispatches and later information presented in the Appendix, and with the official publications at the command of this office.

WORLD'S PRODUCTION OF GOLD AND SILVER. The information in relation to the production of the precious metals contained m the dispatches received is so meagre that no correct esti mate of the Avorld's production can be based upon it for the last or pre ceding year. The annual supply of gold, which reached its height in the year 1856, has very largely declined within the last few years, as willbe seen from the folloAving table of the production of gold in the three countries which produce about four-fifths of the world's supply:

GOLD.

Year. IJnited States. Erussia. Austraha. Total,

1853 $65, 000, 000 $16, 000, 000 $50, 600, 000 $131, 600, 000 1856 ...... 55, 000, 000 18, 000, 000 61,000,000 134, 000, 000 1861 : 43, 000, 000 15, 500, 000 53, 000, 000 111, 500, 000 1870 50, 000, 000 23, 400, 000 • 40, 000, 000 113,400, 000 1876 39, 929,166 22, 300, 000 28,000, 000 90, 229,166 1877 46, 897, 390 27, 000, 000 24, 000. 000 97, 897,390 1878 51, 206, 360.- *25, 000, 000 23, 000, 000 99, 206,360 1879 38, 899, 858 *25, 000, 000 *23, 000, 000 86, 899,858

* Estimated. A table is presented in the Appendix, taken from the publication of Dr. Soetbeer, the eminent German statistician, shoAving the estiinated annual production of gold and silver for a series of years. This estimate is higher than many of those heretofore published. It is safe to say that the production of gold during the last year was less and the production of silver considerably greater than the annual average given by Dr. Soetbeer for 1871-1875, viz: Gold $113,432,300 Silver 81,849,300 Total 195,281,600

THE WORLD'S CONSUMPTION IN ARTS, MANUFACTURES^?, AND ORNAMEN- TATION. The official dispatches contain but little additional information on tbis subject, except in continuation of statistics heretofore pubhshed. Articles containing or composed of gold or silver are required in France to be examined and marked by a bureau of guarantee, and the quantityof gold or silver contained is registered. In the last twenty- four years, the value of gold in the articles thus registered was $222,140,729, 14 F

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2i0 . REPORT ON THE FINANCES. •^iid of silver $81,423,938, being an annual aA-erage of $9,255,863 of gold^ and $3,392,664.01 silver. An exaniination of the laAv shows that the articles are permitted to b6 6f thriee standards of fineness for gold, namely, 920,840, and 750 thmi- ^aiidths, a meah fineness of 837 thousandths, and of tAA-o standards f6r silver, 950 and 800, making the mean fineness of the latter 875. the Statement of the value of the gold and silver thus used in France would ifiiaye to be correspondingly diminished Avere it not that much gold and siiVer used ahd dissolved for chendcal and electro-plating purposes, ahd probably that made into gold or silver leaf, are not stamped or recorded; and the annual consumptio'n probably fully equals the figures giA-en for the last year. Gold $10,817,006 Silver 3,250,046 Total.. 14,067,052 Upon these data, an approximate estimate can be* made of the con sumption of precious metals in countries similarly situated, especially on the continent of Europe. Other data of the excess of imj)orts over ex ports of precious metals into countries not using them for coinage, as, for instance, India, Avhere the imports of gold in forty years have ex ceeded the exports by more than $400,000,000, of Avhich only $8,000,000 have been coined as money, are thought to indicate a large annual ab- . sorption and consumption of the precious metals in every country. From the data thus furnished and from inability to account for the •disappearance of a large excess in imports over exports of the precious m

STATISTICS OF COINAGE. The future use or annual appropriation of silver and gold is so uncer tain that opinions and.conjectures are of little value. i4ie coinage of .gold is open for depositors at the mints in almost CA-er}- country of the Western World, Avhile silver has, with fcAv exceptions, been excluded, except on gOA-ernment account. A table is presented in the Appendix shoAving the A-alue in United States monej- of the coinages of the various countries of the Avoiid, as far as they (3ould be ascertained, fqr the last four years, separatelj-. While this table is Valuable as shoAving the Avork performed by the mints of the countries issuing metallic nioney, it does not accurately show the amount each country has added to its stock of coined money, for a con siderable portion consists of recoinage of existing coins.

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DIRECTOR OF THE MINT. 211

Where official records of specie imports and exports fail to distin guish coin from bullion, the coinage statistics of a country furnish im perfect and insufficient data for estimating its metallic circulation, ex cept for short periods after a change in its coinage and the demonetiza tion of pre-existing coins. It is evident that the aggregate coinage of all the countries fijr a single year or given period must far exceed the actual addition to the world's stock of coined money for the same time; for the coinage in CA-ery (Country is largely manufactured from iiCAvly-coined money imported and withdraAvn from the circulation of other countries. In ascertaining the A-alue of sih-er both in this and the other tables presented in the appendix, the coiuage rate of the standard silver dol lar has been taken as the basis of the computations. As shown by the table of coinages, the total coinage of several of the principal countries of the World for the last few years has been:

No. of couutries. Gold. i Silver. I Total. I I 1875. 20 ; $19.5, 987, 428 ' $119, 915, 467 $315, 902, 895 1870. 16 ; 213.119, 278 : 126, 577,164 339, 096, 442 1877. 12 ' 173, 675, 555 [ 78, 402, 648 252, 078, 203 1878. 13 i 161,605, .522 73,6.13,342 235, 218, 864

The closure of European mints to the free coinage of silver has les sened the amount of that metal coined, and its coinage Avill be com- paratiA-ely light, unless nations now under suspension of specie pay ments undertake to resume and use sih-er more freely for that purpose. The annual cousumption by Great Britain for fractional coinage indi cates that only about fifteen millions Avoiild be required by Europe for coinage should "gold becomethe single standard of that continent, and five millions would suffice to rencAV the subsidiaiy coinage of America should sih-er be demonetized in this continent also.

STATISTICS OF CIRCULATION. The paper circulation of commercial countries is ascertained without much difficult^-, as the issues of gOA-ernments and banl<:s are generally given in official reports. The specie in circulation in. the Avorld at any given year or period, or even in a particular country, cannot be accurately ascertained, and must in part be estimated. Approximate figures may be giA-en, but no statistician. Avill claim exactness. • ' . . The opinions of the bes'i3 and latest authorities attainable have been collated, and are presented hi a table Avith late official statements of paper circulation or approximate estimates. The aggregate circulation of tAvent3--four States, with a population of 446,699,890, is as thus reported and estimated: Paper $3,306,480,151 Gold 2,685,691,372 Silver (full legal tender) 813, 912,303' Sih-^er (.limited tender) 310,247,960 Total : 7,116,331,786' Avhich shoAvs a per .capita circulation of $15.93, of Avhich $7.40 is paper, and $8.53 metallic. The per capita circulation of gold is $6.02, of full egal-tender sih-er $1.82, and of limited, tender silver $0.69.

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212 EEPORT ON THE FmANCES. In nine of these countries, having a paper circulation of $1,407,335,236, specie payments have been suspended, and soine of them use largely base metals for fractional currency, of Avhich no account has been taken. COURSE OF PRICES. The discovery of the gold mines of California and Australia, and out pouring of their ininerarwealth to that of the Old World, excited an apprehension in Europe lest^ an oversupply of silver and gold inight diminish the purchasing poAver of money, disturb values, and inflate prices. The large i3roduction of the precious metals in the last fcAV years has heen measurably absorbed by increasing wealth, AA-ider cominerce, and the more frequent interchange of commodities. ^ l^otwithstanding the large additions to the monetary supply by the Comstock Lode, the prices of commodities measured in silver as wellas gold haA-e lowered. This may in part be accounted for b^- the change in several European countries from the silver to the gold standard. The Director of the Mint, in his report for 1873, predicted that'' the gradual adoption of the gold standard and consequent demonetiza tion of silver Avill, of course, be followed by an increase in the value of gold, or, what is the same thing, a decrease in the price of articles measured by it.'^^ Sufiicient time has elapsed since 1873 to verify this prediction and to permit an examination of the course of prices which it may be profitable to trace through the last six years. The prices of the exports of a country are usually regulated by the prices in the markets of the world, are least disturbed by local influences and best suited for such comparisons. The exports of this country for the last ten years, dividing A-alue by quantity of each article, give the yearly average export price. ' Eejecting a few articles of wliich the small quantity exported or vari able quality afford no fair criterion, there remain eighty articles com prising 84 per cent, of the value of the merchandise exports of last year. The results of a comparison of the price of eacii article in subsequent years with its price in 1870, added and averaged for each year, afibrd an indication of the general rise or fall of prices; that is, the purchasing power of money in this country for each of the ten years. Such exami nation shows a rise in gold prices from 1870 to 1874 and subsequent de- dine, the ratio of prices in each year to the prices of 1870 being iii United Btates notes and in gold as follows:

•tl

Fiscal years ending— • 1%

fl CD State s note wit h thei r lik e valu i n o f IJnite d State s ex ce s o f export witl i 1869-'70 , a s meas o f Unite d State s ex ports . price s o f export 1 in g valu e o l IJnite d ports . wit h it s lik e valu ure d b y th e price s i wit h thei r lik e pric i n 1869-70 . ' thei r lik e pric i n ure d b y th e price s ing , valu e o f gol d i n 1869-'70 , a s meas .1869-'70 . Comparativ e gol d ijri - Comparativ e purchas Comijarativ e purchas . Comparativ e currenc y 1

-• - . l.g70 $1 00 $1 00 $1 00 $1 00 $1 00 1_g7i 95.6 1 04. 7 1 04. 6 95.5 95.7 Tl g79, • 95.3 1 04. 8 ' 1 04. 9 95. 4 96.15 1873 ~ • -.- 98. 7 1 06. 5 I 01.3 93.8 92.8 ]'874 99.1 1 09 I 00. 9 91.7 89.1 1875 91.9 • 1 00. 2 1 08. 8 99.8 94.8 1876 .• . .- -. 85.5 92.4 . 1 16. 9 1 08. 2 98.2 1877 , 82.5 94 I 21.2 1 06.3 95.7 1878 73.9 .88.7,.. . 1 35. 3 1 12.7 1 00. 0 1879 -. 67.7 •86 1 47. 7 1 16.2 97. 9 . :

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DIKECTOR OF THE MINT. 213 The xirices of the year 1869-'70 are nearly the aA-erage prices for the closing years of the fiA-e-decades preceding the year 1879, namely, 1829, 1839, 1849, 1859, and 1869. Examination has not'been made, and it may be impossible to ascer tain, Avhether the prices of the fiscal year 1869-'70 are aA-erage prices in this country for the last fiftj- years or during the century 5 but the prices of that year as given in English statistical authorities are about the same as for the closing year of fiA-e preceding decades, except 1849. Similar tables of prices in Europe, combined with those of American exports aboA-e stated, show the following comiDarative prices of commod ities and respect!A-e purchasing poAver of gold and sih-er for the last ten years:

P urch asing value (mea.< • Prices of comiuodities in- ured by commodities) of—

Gold. Silver.- G-old. • Silver. 1 1 187" .... $100 $100 $100 ' $100 1871 102. 2 101.1 97.9 98 & 1872 104.8 105 95.4 ! 9.5.3 1873 106. 4 107.7 94 . 92 9 1874 : 104. 6 107.7 95. 6 ! 92. 9 1875 : 98. 3 103. 3 101.8 96.8 1876 96.3 106.1 103.8 94.2 1877 95. a • 107. 6 104.3 93 1878 91. 6 103. 2 109. 2 96. 9. 3879 ... 86.7 103 315 3 ! 97 1

The prices given are the aA-erage prices taken from statistical author ities for the fiscal years named of American exiDorts and leading Enghsh commodities, and except for the last two years of Erench imports and exports, and indicate as to those, countries the comparative average purchasing power of gold and sih-er respectively during the ten years. Tnesc comparisons indicate a rise in the A-alue of money measured in commodities in Europe, and especially during the last year in this- country, Erom the movement of the precious metals to this country at this time, a further decline in prices may be expected on. the Continent,, and an advance in the United States.

PRESENT MONETARY SITUATION. In conclusion this maybe asserted Avith reasonable confidence and. fairly stated as the present monetar}^ situation. As general x)rices have not adA-anced above those of fifty years ago- the annual supply of the precious metals, although increased fivefold,. is not excessiA-e nor more than sufficient to satisfy the AvorkVs present needs for coinage and manufactures. The larger production has been absorbed and required by the growing Avealth, commerce, and population of ciA-ilized nations, and has not in flated prices b^- depreciating the value of money. Probably one-half of the gold and one-third of the silver annually obtained from the mines are consumed in manufactures and the artS; and from one-thh'd to one-half of the sih-er and the remainder of the gold are appropriated, and under present legislation Avill be required, for coin age in Europe and America, Avhile the vast populations of India and China Avill continue to absorb the surplus of silver as heretofore during the century in varying amounts from 20 to 40 millions of dollars.

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214 REPORT ON THE FINANCES. Should the free coinage of silver at a fixed valuation Avith gold be established by international agreement and suitable legislation, no excess of silver above the needs for coinage, manufacture and Eastern export may be feared, and silver from such uniA-ersal legal power equally Avitli gold to discharge indebtedness, and the necessity for its use for the smaller denominations could not materially fall bel0|W the comparative A-aluatioi\that may be agreed upon. Should the $650,000,000 of silver coins noAV permitted to circulate as full legal tender in Europe be demonetized consequences will follow more disastrous to the stability of silver and all monetary A-alues than have attended its partial exclusion from European circulation, and its imme diate further depreciation would pour the whole supply upon nations wilhng to receive and use it as monej^ Silver Avould become almost their exclusive circulation. The United States could not single-handed among commercial nations, with no European co-operation or allies, sustain the value ofsilver from the inevitable fall. If Euroi^ean nations continue to decline overtures for an international agreement in regard to the coinage of silv-er, the expediency of opening our mints to the free coinage of their present stock ofsilver and inv i ting its speedy demonetization or export here is questionable. The true policy of this country is sucli conservative action as will tend to bring the A-alues of gold and sih-er to their former relations, UXD- holding the one and preventing the appreciation of the other until it can be determined whether commercial nations are willing that both metals should be yoked for equal monetary service. But in case the use of silver as money must be abandoned, it is grati fying to belicA-e that the A-ast resources, the agricultural and mineral wealth, the present development of mining and manufacturing interests and facilities for inland commerce, the comparatiA-e lightness of taxa tion and relief from heav^- foreign indebtedness, and, aboA-e all, the pro ductive genius, industry, inventive skill, and capacity of the people of the United States will enable them to retain, or as now, draw from abroad the gold needed for their monetary use, and that the commercial disas ters and depression threatened or feared as the result of restricting the commercial world to one metal are more likely to fall upon the nations that initiated, and are responsible for, the movement. I am, A^ery respectfully, HOEATIO C. BUECHAED, Birector of the Mint. Hon. JOHN SHERMAN, Secretary qf the Treasury.

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1879 APPENDIX. L- —State'ment of earnings and ex'penditures of the mints and assay offices of the United States for the jiscal year ^nded June 30, 1879.

Mints. Assay-offices. Total. •Philadelphia San Erancisco. Carsou. New Orlean s. ^D euvei'. New York. Boise. Charlotte. Helena.

Earnings: Parting, refining, &c $5, 556 81 • $148,126 17 $5, 310 30 $517 31 ^$95, 260 05 ?$254, 770 64 Seigniorage on coijiage of standard silver dollai'S - 1, 382, 032 68 1, 648, 599 10 182 671 ns . 74,162 67 3, 287, 466 09 Sweeps, grains, and flux bars Ironi deposit uicltiu"' 553 55 .1, 599 21 i ^^4-(\ 9,1 2, 729 89 $82 80 $1,173 14 6, 484 80 2, 865 20 ; 60 01 12 54 ; 1,136 55 4, 074 30 Gaiu on uiaiuiia(;ttire of niinor coius 31, 292 33 i • 31 292 33 o 2, 493 36 2, 493 36 H Proceeds of sale of old material 469 28 1,078.48 253.65 557 35 23 84 $15 76 2 398 36 O Assay of ores, &.c 216 50 108 00 12 00 900 on 340 00 81 00 165 17 300 00 2,122 67 Meltiug, assayiug, and sfcaiuping bars I 466 66 193 25 142 21 868 69 1, 670 81 Siiii>lus'«''old bulliou TOtiiviied by coiuer 7234' 72 34 o • 1, 422, 614 51 1, 802, 448 56 188, 295 54 75, 261 87 1 1, 712 87 99, 490 33 290 01 390 18 2, 341 83 3, 592, 845 70

Expeuditnres: Salaries 34,850 00 24; 900 00 23, 549 90 18,133 48 7, 950 00 32,150 00 3, 000 00 2,500 00 5, 677 14 152, 710 52 284, 764 1.0 260,990 84 79,999.38 56,298 91 : 8, 300 00 20, 843 50 5,104 26 716, 300 99 Incidental aud contingent expenses 82, 495 73 75, 864 63 21, 059 15 24,902.08 ^ 3,345 41 7;705 63 2, 890 21 624 91 7,821 12 226,709 47 PartiiT^'' and refiuin*^'' expenses 3, .560 17 128, 474 58 5, 809 72 i 75, 788 76 213,633 23 1—1 •Expense of distributing silver coiu 176 61 76, 844 41 16, 320 20 133 10 93,474 32 Minor coinage .wastage 775 00 775 00 8, 500 00 8, 500 00 •Repairs and iiew machinery 71,257.88 . 71, 257 88 '• 1,299-.97' 1, 299 97 TJOSS on saleof sweeps 7, 265 01 5, 664 79 • 4; 423 89 •17,353 69 9, 910 13 8, 550 34 2, 096 36 1, 825 48 22, 382 31

424,096 7-2 :581,.289.59 157,334-71 172, 551 53 19,595 41 140, 911 78 5j 890-21 .3,124 91 18, 602 52 1,524, 397 38 0

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II.—Deposits midpvjrchases of gold and siher hullion dwring tlie fiscal year ended June 30, 1879. b5 I—^

Mints. Assay-oflaces. Description. Total. Philadelphia. San Erancisco. Carson. Denver. New Orleans. New York. Boise. Helena. Charlotte.

GOLD. • $51, 284 59 -.1 1 •. C Einfi hars $8, 806, 018 85 $8, 754, 734 26 413, 603 44 272, 696 68 $20, 904. 60 :::::::::::::::::::::::::::::::::::::: $133 04 $4,428 70 711, 766 46 IJnited States bullion (domestic 1 production) 188, 091 69 28, 907, 727 03 $318, 735 52 $410, 889 33 8, 203, 577 92 $67, 266 17 404,762 27 48, 655 96 38, 549, 705 89 IJnited States coin 71, 525 37 100 00 126,457 80 198, 083 17 Eoreign bulliou - - - 31, 698 14 357, Oil 48 $204 83 680, 306 59 575 85 1, 069, 796 89 Eoreign coin . 2,147 26 154, 712 93 117 19 1 51, 788 33 1, 290, 054 do 1,498, 819 71 o Jewelers' bars, old i^late, &c 341,188 82 15, 420 51 580, 278 64 863 17 - 937,751 14 1 Total gold 9, 662, 082,22 29,440, 456 04 318, 852 71 1 410, 889 33 67, 413 67 11, 345, 562 98 67, 266 17 405, 471 16 53, 947 83 51, 771, 942 11 o SILVER. i 3, 868, 258 12 3, 868, 258 12 Eedeposits| Unparted bars'.. . .. 277, 722 17 5 82 34 76 277, 762 75 United States bullion (domestic production) 5, 457,142 56 13, 061, 977 50 1, 020, 660 13 6,120 46 824, 944 41 6, 234, 635 04 4, 218 19 324, 697 03 333 24 26, 934, 728 56 IJnited States coin 10, 2.57 45 350 34 10, 607 79 Eoreign bullion 806, 697 84 4,89.1 46 261, 325 67 4 32 1, 072, 919 29 Eoreign coin 268,330 13 20,403 13 11 286, 076 10 123, 823 02. 698, 632 49 Jewelers' bars, old plate, &c 74,105 97 12, 282 09 122,192 45 29 2i 208, 609 72 a Total sQver 9, 678, 094 23 13, 889, 428 81 1, 020, 660 24 6,120 46 1,128,194 06 7, 019, 698 35 4, 218 19 324, 707 17 . 397 21 33, 071, 518 72 (jold and silver received and oper ated upon 19, 340,176 45 43, 329, 884 85 1, 339, 512 95 417, 009 79 1,195, 607 73 18, 365, 261 33 71, 484 36 730,178 33 54, 345 04 84, 843,460 83 Less redeposits: Gold .... 9,027,430 94 20, 904 60 464,888 03 133 04 4, 428 70 9, 517, 785 31 Silver 3, 868, 258 12 277,722 17 5 82 34 76 4,146, 020 87 1 Total redeposits 12, 895, 689 06 20, 904 60 742, 610 20 138 86 4, 463 46 13, 663, 806 18

Total deposits and xDiu'chases. 6,444,^487 39 43, 308, 980 25 1, 339, 512 95 417, 009 79 1,195, 607 73 17,622,651 13 71, 484 36 730,039 47 •49, 881 58 71,179, 654 65

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1879 III.—Coinage executed dunng the fiscal year ended June 30, 1879.

Mint at Philadelphia. Mint at San Erancisco. Mint at Carson. Mint at New Orleans.* Total. Denomination. Pieces. Yalue. Pieces. Value. Pieces. Value. Pieces. Yalue. Pieces. Yalue.

1 GOLD.

Double-eaerlea 465, 030 $9, 300, 600 00 1, 384, 000 $27, 680, 000 00 1 12, 687 $253, 740 00 1 861 717 $37, 234, 340 00 Ea'^'les 73, 800 738, 000 00 26,100 261, 000 00 ! 3, 244 32,440 00 _ ' 103,144 1 031 440 00 113,100 565, 500 00 166, 900 834, 500 00 , 8, 426 42,130 00 288, 426 1, 442,130 00 Three aollars 36, 394 109,182 00 36, 394 109 182 00 245, 220 613, 050 00 221, 500 553,750 00 . 466, 720 1,166, 800 00 Dollars 3,020 3, 020 00 3,020 3,020 00 • 1,798, 500 29, 329, 250 00 24, 357 328, 310 00 2, 759, 421 40, 986, 912 00 Total gold 936, 564 11, 329, 352 00 o 1 SILVER. O Standard dollars 12,124,500 12,124, 500 00 12, 722, 000 12, 722, 000 00 . 1, 644, 000 1, 644, 000 00 737. 000 $737, 000 00 1 27. 227. 500 27, 227,500 00 Half-dollars 450 225 00 450 225 00 450 112 50 1 ! 450 112 50 Dimes 450 45 00 1 450 45 00 1 Total silver 12,125, 850 12,124, 882 50 12, 722, 000 12, 722, 000 00 1 1, 644, 000 1, 044, 000 00 1 737, 000 737, 000 00 27, 228, 850 27, 227, 882 50 H W 1 1 1 MINOR. W

. 23,500 1,175 00 23, .500 1,175 00 Thi-ee cents 32, 800 984 00 32, 800 984 00 "2^ Oue cent 9, 563, 900 95, 639 00 9, 563, 900- 95, 639 00 1 1 Total minor 9, 620, 200 97, 798 00 1 1 " 9, 620, 200 97, 798 00 ' Total coinage 22, 682, 614 23, 552, 032 50 14, 520, 500 42, 051, 250 00 1, 668, 35 7 1 1, 972, 310 00 737, 000 737, 000 00 1 39, 608, 471 68, 312, 592 50

* Coinage recommenced Eebruary 20,1879.

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IV.—Bars manufactured during the fiscal year ended June 30, 1879. CO , Mints. PAssay-offices. Description. San Eran Total. Philadelphia. cisco. Carson. Denver. New Orleans. New Tork. Boise. Helena. Charlotte.

GOLD. Eine bars $80,997 82 $6r639, 213 41 $6, 729;-211-23 Mint l^fi'T'S - - T. 5, 309, 001 11 5, 309, 001 11 Unparted bars $1, 798 29 $413,103 06 $64, 286 OQ $405, 471 16 $53, 947 83 938 600 34 Total gold 89, 997 82 1, 798 29 413,103 06 11, 948, 214 52 , 64, 280 00 405, 471 16 53, 947 83 12, 976, 812 68

SILVER. Eine bars 125, 614 22 1, 555,184 63 •7, 006, 828 98 8,687,627 83 o Unparted bars 24, 012 75 2,165 50 6, 891 65 324, 707 17 397 21 358,174 28 H Total silver 125,614 22 1, 579,197 38 2,165 50 7, 006, 828 98 6, 891 65 324, 707 17 397 21 9, 045, 802 11 O Total gold and silver 215, 612 04 1, 580, 995 67 41.5, 268 56 18, 955, 043 50 71,171 65 730,178 33 54, 345 04 22, 022, 614 79

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1879 V.—Deposits of gold of domestic production during thefisoal year elided June 30,'^ 1879.

1 Mints. Assay-offices. Locality. Total. Philadelphia. San Erancisco. Carson. Denver. ^ew Orleans. New York. Boise. Helena. Charlotte.

^-•' $1, 886 85 $1, 886 85 Alaska $1,168 68 1,168 68 161, 358 94 $831 4-7 162,190 41 California 372 17 7, 949,154 55 $91, 919 28 392, 015 24 8,433,461 24 6, 781 16 238 80 $399, 268 83 1, 826,141 32 2, 232,430 11 Dakota 43, 821 84 2,121 10 4, 959 71 2,144, 352 57 2,195, 255 22 Greorsla 30, 324 24 47,292 11 $2,783 69 80,400 04 744 09 455,993 15 938 98 289, 065 84 $64, 687 80 811,429. 86 Irt 123 99 123 99 2, 817 72 31,148 81 1 437 361 79 $404, 762 27 1, 876, 090 59 s 2 70 36, 045 95 223, 756 16 li 545, 666 25 1, 805,471 06 721 55 721 55 o 163 14 5,485 64 .94. 114. n? 89,762 85 28, 547 36 ... 1 To', 838 22 42, 691 05 82,076 63 o Oregon 4, 028 76 568,430 .18 2, 578 37 575, 037 31 South Carolina 2, 252 14 . 3,181 22 5, 433 36 o 1, 499 61 202 35 1,701 96 Utah 36, 924 67 23, 694 80 60, 619 47 Yemiont 180 86 180 86 Yirginia 13, 030 77 1, 596 77 14, 627 54 21, 378 42 21, 378 42 "Wyoming Territory- 10,131 96 1,440 45 1,175 15 14, 508 29 27, 255 85 IS, 644, 428 42 18, 644, 428 42 Parted from ^iK'^pr 13, 564 28 1, 000, 016 01 380, 959 17 1, 394, 539 46 27, 942 04 4, 092 12 32, 034 16

Total f>old 188, 091 69 28, 907, 727 03 318, 735 52 410, 889 33 8, 203, 577 92 67, 266 1.7 404, 762 27 48, 655 96 38, 549, 705 89

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VI.—Deposits and purchases of silver of domestic 2yroduction du/ring thefisoal year ended June 30, 1879. to o Mints. Assay-offices. Locality. Total. San Eran Carson. Denver. New Orleans. Philadelphia. cisco. NewYork. 1 Boise. | Helena. Charlotte. i $537, 253 85 $1, 462 45 $538, 716 30 $23,177 62 94,144 51 $9, 418 64 1 126, 740 77 Colorado $2,171 64 3, 077, 048 31 3, 079, 219 95 Dakota 17 00 17 00 :::::::;::::::;:::::::::::::i;::::::::::::: $5 64 5 64 Idaho 116 341 98 ! 20 50 ..! S;2 994 33 1 • 119, 356 81 1, 999 42 i 775, 872 09 777, 871 51 141, 519 24 637, 717 ^6 $324, 697 03 1,103, 933 73 Nevada -. . 4,347,245 25. 1, Oil, 203 99 453, 215 82 5 811 605 06 O 317, 047 68 317,047 68 IJforth Carolina ,i 317 13 317 13 - I'l 10 47. 10 47 Utah 70, 945 66 69, 968 31 880, 555 90 1, 021, 469 87 O Kefined bullion 6, 840, 025 56 i 6 840 025 56 . 13,146 42 81, 350 82 1 91,715 33 186, 212 57 Contained in gold 3, 948 82 1. 223 86 ! _ _. 5,172 68 Other sources 5, 347, 873 44 834,127 98 $824, 944 41 1 i 7, 006, 945 83 1 i Total silver 5, 457,142 56 13, 061, 977 50 1, 020, 660 13 6,120 46 1 824, 944 41 | 6, 234, 635 04 4, 218 19 | 324, 697 03 j 333 24 26, 934, 728 56

Total gold and silver 5, 645, 234 25 41, 969, 704 53 1, 339, 395 65 417, 009 79 824, 944 41 il.4. 438. 212 96 71. 484 36 ! - 729. 459 30 48, 989 20 65, 484, 434 45 1

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DIRECTOR OF THE MINT. 221

VII.- -Gold and silver of domestic production deposited at the mints and assay-i Uces from their organization to the close of thefisoal year ended June 30, 1879.

Locality. Gold. Silver. Total.

Alabama $219, 120 16 120 16 Alaska 24, 021 57 24, 021 57 Arizona 2, 097,82 2 31 $1,125, 394 26 3, 223,21 6 57 California 694, 940,15 3 93 1, 373, 703 54 696, 313,85 7 47 Colorado 32, 216,58 8 70 18, 926, 099 15 51,142, 687 85 Dakota 4, 485,09 0 80 17 00 4, 485,10 7 80 Georgia 7, 608,25 0 95 409 47 7, 608,66 0 42 Idaho 23, 626,87 0 38 624, 295 64 24, 251,16 6 02 Iowa 192 58 468 00 660 58 Kansas 956, 859 10 956, 859 10 Lake Superior 123 99 3. 302, 790 97 3, 302,91 4 96 Mai-yland 402 12 402 12 Massachusetts 917 56 917 56 Micliigan 1,196 87 1, 196 87 Montana 46, 883,23 8 09 3,108, 401 80 49. 991,63 9 89 Nebraska 46, 832 56 749, 730 71 796, 563 27 Nevada 13, 914,06 0 70 67, 019, 788 51 80, 933,84 9 21 New Hampshire 11, 020 55 11, 020 55 New Mexico 1, 478,43 4 86 1, 796, 517 32 3, 274,95 2 18 North Carolina 10, 527,69 1 53 - 45, 202 15 10, 572,89 3 68 Oregon 14, 831,14 4 23 3, 232 12 14, 834,37 6 35 South Carolina 1, 389,98 3 60 14 92 1, 389,99 8 52 Tennessee 82, 267 95 82, 267 95 Utah 418, 104 42 ', 409, 253 16 8, 827,35 7 58 Vermont 10, 981 27 10, 981 27 Virginia 1, 663,34 5 63 1, 663,34 5 63 Washington Territory. 174, 430 13 174, 430 13 "Wyoming Territory .'.. 699, 645 77 11,793 86 711, 439 63 Refined bullion 182, 893,97 1 74 39, 819, 254 95 222, 713,22 6 69 Parted froui silver . 12, 525,25 0 35 12, 525,25 0 35 Contained in silver 9, 321,10 7 50 9, 321,10 7 50 Parted from gold 6, 594, 091 58 6, 594,09 1 58 517, 645 58 Oontamed in gold 517, 645 58 329 96 Other sources 10, 051, 693 06 11, 858, 636 90 21, 910, Total . 1,073,098,700 53 165, 288, 856 02 1, 238, 387, 556 55

VIII.- -Statenient of coinage from the organization of the Mint to the close of the fiscal year ended June 30, 1879.

GOLD COINAGE.

Period. Double-eagles. Eagles. Half-eagles.'Three-dollars . Quarter-eagles. Dollars.

1793 to 1795 $27, 950 $43, 535 1796 69, 340 30, 980 $2,407 50 1797 . - 83, 230 18, 045 2,147 50 1798 79, 740 124, 335 1, 535 00 1799 174, 830 37, 255 1, 200 00 1800 259, 650 58,110 1801 292, 540 130, 030 1802 150, 900 265, 880 6, 530 00 1803 89,790 167,530 1, 057 50 1804 97,950 152, 375 8, 317 50 1805 165,915 4,452 50 "1806 320, 465 4, 040 00 1807 420, 465 17,030 00 1808 277, 890 6, 775 00 1809 . 169, 375 1810 501, 435 1811 497, 905 1812 . ... 290, 435 1813 477,140 1814 T, 270 1815 3,175 1816 1817 1 1818 242, 940 1819 258, 615 18''^0 1, 319, 030 1821 173, 205 16,120 00 1822 88, 980 , IS'^'S ! 72, 425 1824 i 86, 700 1 6, 500 00

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222 REPORT ON THE FINANCES.

VIII.—Statement of coinage from tJte organization ofthe Mint, fc.—Contiimed. GOLD COINAGE.

Period. ; Double-eagles. Ea.glcs. 'Half-ongles. Three-dollars.! Quarter-eagles. Dollars. .1. .L 1825. $145, 300 $11, 085 00 : 1826. •90, 345 li 900 00 i 1827- 124, 565 7, 000 00 ! .1828. 140,145 1829. 287, 210 8, 507 50 1830. 631, 755 11, 350 00 1831. 702, 970 1.1, 300 00 1832. 787, 435 11, 000 00 1833. 96S, 150 10,400 00 1834. 3, 660, 845 293,425 00 .1835. 1, 857, 670 328, 505 00 1836. 2, 765, 735 369, 965 00 1837. 1, 035, 605 112, 700 00 1838. $72, 000 1, 600, 285 137, 310 00 1839. 382, 480 802, 745 170, 660 00 1840- 473, 380 1, 048, 360 153, 562 50 1841. 656, 310 380, 725 .54, 562 50 1842. 1, 089, 070 655, 330 89, 770 00 1843. 2, 506, 240 4, 275, 425 327,132 50 1844. 1, 250, 610 4, 088, 275 89, 345 00 1845. 736, 530 2, 743, 640 276, 277 50 1846. 1, 018, 750 2, 736,155 279, 272 50 .1847. 14, 337, 640 5, 401, 685 482, 060 00 1848. 1, 813, 340 1, 863, 560 98, 612 50 1849. 6, 775,180 1,184, 645 111, 147 50 $936, 789 .1850. $26, 225,22 0 I 3, 489, 510 860,160 895, 547 50 511,301 1851. 48, 043,10 0 I 4, 393, 280 2, 651, 955 867, 337 50 3, 658, 820 1852. 44, 860,52 0 '. 2,811,060 3, 689, 635 283, 827 50 2, 201,145 1853. 26, 646,52 0 i 2, 522, 530 2, 305, 095 519, 615 00 4, 384,149 1854. 18, 052,34 0 I 2, 305, 760 1, 513,195 $491, 214 ; 896, 397 50 1, 657, 012 1855- 24,636, 820 ' 1, 487, 010 1, 257, 090 17.1,465 600.700 00 1856. ' 824, 883 30, 277,56 0 ' 1, 484, 900 1. 751, 665 .181,530 ' 213,117 50 1, 788, 996 1857. 300 i 38,496 ' 320, 465 00 1858., 14, 056, 129,160 673, 610 593, 532 28, 038,88 0 ' 629, 900 772, 775 66,177 : 515, 632 50 230. 361 1859.. 720 : 34, 572 21.3, 010 00 I860., 16, 236, 146, 000 406, 710 259, 065 15, 458,80 0 ' 342,130 361,145 61,206 ' 128, 980 00 93, 215 1861-. 420 I 18,216 i 338,440 00 1862.. 59, 316, 552, 050 452, 590 15. 521 36, 247,50 0 972, 990 3, 287,160 .1.7, 355 208,122 50 1, 799, 259- 1863-. 720 I 1864.. 20,387, 126, 580 117, 010 117; 62,475 00 1, 950 21, 465,64 0 85, 800 51, 500 16,470 i 23,185 00 • 6,750- 24, 879,60 0 93, 750 86, 075 10, 065 i 30, 502 50 7, 225 27, 494,90 0 ! 376,100 300, 750 12,090 ; 122,975 00 7,130' 1867. 27, 925,400 ; 51,150 154, 475 7,875 ; 73, 062 50 5, 225 1868- 17, 705,80 0 j .155, 500 153, 750 14,700 I 74,125 00 10, 550 1869. 21, 270,50 0 I 209, 850 228, 925 7, 575 : 105, 862 50 5, 925 1870- 22,018, 480 I 89,130 94, 625 10, 605 ; 35,137 50 9, 335 8871. 20,919, 240 i 163, 250 158, 625 4,020 ' 53, 400 00 3, 940 1872. 19, 798,50 0 ' 254, 600 243, 700 6, 090 72, 575 00 1,030 1173- 34, 765,50 0 ! 204, 650 237, 525 75 39, 062 50 2,525 1174. 48, 283,90 0 i 383, 480 809, 780 125,460 • 516,150 00 323, 920 1875- 32, 748,14 0 i 599, 840 203, 655 60 2, 250 00 20 1876- 37, 896,72 0 1 153, 610 71, SOO 135 , 53, 052 50 3, 645 1877. 43, 941,70 0 i 56, 200 67, 835 4,464 ; 5, 780 00 2, 220 1878- 51, 406,34 0 • 15.5,490 688, 680 137,850 , 408, 900 00 1,720 1879. 37, 234,34 0 1, 031, 440 1, 442,130 109,182 I 166, 800 00 3, 020 Total . ;, 239,120 I 57, 894,150 71, 543, 625 1, 547, 064 ' 28, 371, 450 00 ' 19, 350,17&

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1879 .VIIL—Statement of coinage from the organization of the Mint, fd.—Contmued. SILVER COINAGE.

« Period. Trade-doUars. Dollars. Half-doUars. Quarter-dollars. Twenty-cents. Dimes. Half-dimes. Three-cents.

1793 to 1795 $204, 791 $161, 572 00 $4, 320 80 1796 72, 920 1, 959 00 $1, 473 50 $2, 213 50 511 50 1797 7,776 63 00 2, 526 10 2, 226 35 1798 327, 536 2, 755 00 1799. 423, 515 1800 220, 920 2,176 00 1, 200 00 1801 54,454 15,144 50 3, 464 00 1, 695 50 1802 41, 650 14,945.00 1, 097 50 650 50 1803 66,064 15, 857 <50 3, 304 00 1, 892 50 1804 19 570 78, 259 50 1, 684 50 826 50 1805 321 105, 861 00 30, 348 50 12, 078 00 780 00 1806 419,788 00 51, 531 00 1807 525, 78a 00 55,160 75 16,500 00 o. 1808 - 684, 300 00 H 1809 - 702, 905 00 b 4, 471 00 O 1810 . ... 638,138 00 635 50 1811 ; 601, 822 .00 6, 518 00 1812 '. 814, 029 50 o 1813 620, 951 50 1814 • 519, 537 50 42,150 00 1815 : - 17, 308 00' 1816 23, 575 00 5, 000 75 1817 607,783 50 1818 980,161 00 90, 293 50 1819 1,104, 000 00 36, 000 00 1820 375, 561 00 31, 861 00 94, 258 70 1821 652, 898 50 54, 212 75 118, 651 20 1822 - - - 779, 786 50 16, 020 00 10, 000 00 1823 847,100 00 4, 450 00 44, 000 00 1824 • 1, 752,477 00 1825 ... 1, 471, 583 00 42, 000 00 51, 000 00 1826 2, 002, 090 00 1827 o 2, 746, 700 00 1,000 00 121, 500 OC "^ 1828 . 1. 537, 600 00 25, 500 00 12, 500 00 1829' i; 856, 078 00 77, 000 00 61, 500- 00 1830- • -- 2, 382,400 00' 51, 000 00- 62,000 00 1831 2, 936, 830 00 99; 500 00 77,135 00 62,135 00 • 1832 2, 398, 500 00 80, 000 00 52, 250 00 48, 250 00' 1833 ... . . 2, 603, 000 00 39, 000 00 48, 500 00 68, 500 00 1834 ' 3, 206, 002 00 71,500 00 63, 500 00 74, 000 00 1835 2, 676; 003 00 488, 000 00 141, 000 00 .138; 000 00 1836 1,000 3,273,100 00 118, 000 00 119,000 00 95, 000 00 1837 1, 814, 910 00 63,100 00 104,200 00 113, 800 00 to 1838 1,773, 000'00 208, 000 00' 239, 493 00 112, 750 00 te

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1879

VIII.—Statement of coinage from the organization of the Mint, fc.—Contiimed. to to Period. Trade-dollars. Dollars. Half-dollars. Quartei'-dollars. Twenty-ceuts. Dimes. Half-dimes. Three-cents.

$300 ^1, 717, 280 50 $122:,, 786 50 $229, 471 50 $106,457 50 1840 ! ... 61, 005 1,145, 054 00 153;,, 331 75 253, 358 00 113, 954 25 1841 173,000 355, 500 00 143I,, 000 00 363, 000 00 98, 250 00 1842 • 184, 618 1, 484, 882 00 214:,, 250 00 390, 750 00 58,250 00 1843 ! 165,100 3, 056, 000 00 403:,40, 0 00 152, 000 00 58,250 00 1844 1 20, 000 1, 885, 500 00 290I,, 300 00 7, 250 00 32, 500 00 1845 i 24,500 1, 341, 500 00 230I,, 500 00 198, 500 00 78,200 00 1846 1 .... 169, 600 2, 257, 000 00 127, 500 00 3, 130 00 1, 350 00 1847 :.! 140, 750 1, 870, 000 00 280I,, 500 00 24, 500 00 63, 700 00 1848 i 15, 000 1, 880, 000 00 36,i, 500 00 4.5,15 0 00 63,400 00 1849 : 02, 600 1, 781, 000 00 85,>, 000 00 113, 900 00 72,450 00 1850 ' 47, 500 1,341,500 00 150I,, 700 00 244, 150 00 82,250 00 1851 • 1, 300 301, 375 00 62,, 000 00 142, 650 00 82, 050 00 $185, 022 00 O 1852 i 1,100 110, 565 00 68,; 265 00 196, 550 00 63, 025 00 559, 905 00 1853 i 46,110 2, 430, 354 00 4,1.46.,, 555 00 1, 327,30 1 00 785, 251 00 342, 000 00 1854 i 33,140 4, 111, 000 00 3, 466',, 000 00 624, 000 00 365,000 00 20,130 00 1855 \ 26, 000 2, 284, 725 00 861,,35 0 00 207, 500 00 117, 500 00 4,170 00 63, 500 1, 903, 500 00 2,129.. 500 00 696, 000 00 299, 000 00 43,740 00 o .1857.. 94, 000 114, 000 00 583,,00 0 00 489, 000 00 197, 000 00 1858.. 4, 430, 000 00 3, 019I, 750 00 226, 000 00 327, 000 00 37, 980 00 1859. 288, 500 4, 005, 500 00 1, 4281, 000 00 229, 000 00 195, 000 00 41, 400 00 1860. 600, 530 1, 627, 400 00 330,I, 450 00 98, 600 00 96, 500 00 16, 440 00 tei 1861.. 559, 900 959, 650 00 •771, 550 00 167, 300 00 139, 350 00 7, 950 00 1862., 1, 750 1, 785, 425 00 730,I, 937 50 158, 405 00 117, 627 50 18, 256 50 1863., 31,400 983, 630 00 113,:, 965 00 34, 071 00 8, 223 00 2, 803 80 1864- 23,170 483, 985 00 22,!, 492 50 14, 037 00 4, 518 50 11 10 1S65 32, 900 553,100 00 27,•, 650 00 1.7,16 0 00 4, 880 00 618 00 1866. ,712 50 065 00 10, 732 50 679 50 58. 550 579, 525 00 9, 21, Q 1867. 57, 000 897, 450 00 18,,17 5 00 13, 670 00 435 00 141 00 1868. ', 475 00 315 00 54, 800 946, 750' 00 37, 73, 24, 290 00 120 00 t/2 1869. 231, 350 561, 675 00 23,, 137 50 23, 905 00 527 50 151 50 1870. 588, 308 1, 009, 375 00 23,, 047 50 98, 185 00 48, 222 50 115 50 1871. 657, 929 1, 242, 771 00 29,', 971 75 10, 707 50 14, 396 25 129 75 1872. ., 112, 961 1, 486, 492 50 55,, 096 25 222, 471 50 152, 751 75 61 05 1873. 977,150 1,199, 775 00 174, 362 50 419, 040 00 175, 442 50 25 50 1874. $3, 588, 900 1,438,930 00 458,;, 515 50 497, 255 80 1875 5, 697, 500 2, 853, 500 00 623, 950 00 $5, 858 00 889, 560 00 1876. 6,132, 050 4, 985, 525 00 4,106,;, 262 50 263,560 00 3, 639,10 5 00 • 1877. 9,162, 900 9, 746, 350 00 7, 584,17, 5 00 1, 440 00 2, 055,07 0 00 1878. 11, 378, 010 573, 500 3, 875, 255 00 3, 703;, 027 50 142 00 760, 891 00 187

V--• '- \ : ' ^ Y'III.z—St'atemeM':of coinage from t]\e organization of. the'.Aiint, cfc.t—Conti uned. * "" ' - • ^ • Minor coiuage. ! Total coinage.

Eive-cents. Three-cents. Two-cents. Ceuts. Half-cents. Gold. silver. Minor. Tot£i^-

]l93 to 1795..•..-..•.-.•..-.-.•---•.•.-.-.-.-.---.•.=•.-..-.J. $10,660 33 $712 67 .4571. 485 00 - $370,'6S3 80 $11,373 00 $453,-541 80 |796...... ^...... '.^^: 9,747 00 577 40 10-3,727 50 '79, 077 50 1.0, 324 40 192,129 40 |797 ...... ^ ...•..•.•,^.-.:.-.^-.:'.'.'.. . ^- -- 8,975.10 535 24 103, 422 50 12,591 45 9, 510 34 125,524 29 ^798 • -. ' •9, 7-97 00 205, 610 00 •^. 330,29100 9,797 00 ' .545,698 00 •h99-..-.-. .-.v... -•-.-..-. .•.-.•.-.-:•-•.-!-.•.--.•-•.-.-.•.-. -'. 9,045-85 60 83 213,285 00 " i 423, 515 00 9,106 68 .- 64.5,906 68 \S00 :-..•..•.:•....•..•.'.•.•.^.:'.•.'..•...-.:•.•.-.•.•: :.. '28„221.75 1,057 65 317,.7iB0 00 - 224,296 00 29,279 40 571, 335 40 hOl ...... •...•....•.•.•..•.•.•.:.^-.'.::.'.'.-.:•.:'.:,. :::^:::::::: 13,.628 37 422 570 00 • 74,-7.58 00 13,628 37 510,-956 37 i802 .••..-.•.•....-.•---•. -.-.-.-.-.".-.••'.-. -•- -34, 351 00 "•'••' ii'kh 423,310 00 58, 343 00 34,422.83 516, 075 83 :f803 .:.: --•-'. .•.:•.:. ..::•..-.. .'.: 24,713,53 - •• 489 50 258, 377 50 .87,. 118 00 •25, 203 03 370, 698 53 !804 •. : ....•.-..- .^^•.•.^^^v.^•. .> 7,;568 38 5,276 56 258,..642 50 ..1,00,340 50 12, 844 94 371,827 94 :f805 •-.-•. •.--•.•.--.--.-.-.-.-. :-.•..•.•.-.•.•.-.-. .'. vi£EB 9, 411 16 4, 07-2 '32 • 170. 367 50 • 149,388 50 13, 483 48 333, 239 48 f806 .- - -. ' 3,480.00 l,-780 00 .324, 505 00 -471,3.19 00 5,260 00 ' 801 084 00 ••^807 '- •7,272.21 2, -380 00 .437,.495 00 597, 448 75 9, 652 21 1, 044, 595 96 o J^808 • • - - - • 1. 11,090,00 2, 000 00 284,665 00 684, 300 00 1.3, 090 00 982, 055 00 ]809-."[]y.[...[..[][^'.""'.'.'.['.'.['.".'.T. •2, 228 67 5,-772 86. 169, 375 00 707,376 00 8, 001 53 884, 7.52 53 o -*^8]0- 14,(585 00 1,075 00 .•501,435 00 638,773 50 15, 660 00 1,155, 868 50 "! • :-2,180/25 315 70 '•,497, 905 00 608, 340 00 2, 495 95 1,108, 740 95 ' ^812 • ; i0,755..00 -.290,435 00 814, 029 50 10,755 00 1,115, 219 50 o 1813--:.-::.:::..:::;v::^:::::v::-:-:?; •4,180 00 . • 47-7,140 00 620,951 50 4,180 00 1,102, 271 50 ^8U -» • • • 1 _\'_' ;" 3, 578 30 77,270 00 561, 687 50 3, 578 30 642, .535 80 J8i5 •. -. .•.•--.---'..... -•.-.-.-..•;. . . ' 3,175 00 17,308 00 20, 483 00 j8i6 -.-.-.-.-.-.-.•'.•.-. .-.-.•--..•.•.:. ""'28,'209'j2' 28, 575 .75 '28,"209'82' . 56, 785 57 w ^sii • • • — ° '^ : 39,484.00 607,783 50 39,484 00 647 267 50 l818-...-^!^^•.^•.^^"^•y^v"-'•^V;'.'-".' !' 31, 070 00 ''2.42,'946'60 •1,070,454 50 •31, 670 00 1, 345, 064 50 ^819'.^.. .v.. .v.-.-.-.-.. ...^-...... '.-.-..' -•.'...-. .--•. j. . 26, 710 00 • '258,. 615 00 1,140, 000 00 26, 710 00 1, 425, 325 00 l820•.•...••.^^.^•^.•.^^.v•.—•:—^-• ',: 44,075.50- 1,319,030 00 501, 680 .70 44, 075 50 1, 864, 786 20 1821 — ...,,' .:..o...-..o.o,.. .— ; ,•3,890 00 189,'325 00 825, 762 45 3, 890 00 1, 018, 977 45 ^ 20, 723 39 i88, 980 00 805,806.50 20,723.39 915,.509 89 ~ l823^...•v.-.•..•.•.••.-.•.•;^^^^^.--•....:. : 72,'425 00 895, 550 00 967, 975 00 H - 1824'.'.-.°-.f.-t-.-.-.--.-.-.•• -.o.:-:. "'" l:2,'620•"00'- .;;,93, 200:00 1,752,477.00 12,'620 "60 1, 85S,,297 00 " 1§^5-- ^..-. -..-.-.-.. ...'..'.::.. .-.•.-..-". .-.- - . ;• 14, 611 00 -'-'-'•' '315" Od" " 156, 385 00 1,564,-583 00 14, 926 00 1, 735, 894 00 1826 ^^^^ ...... :-.-<'.'. ^^•.. v..^v-- .L -15,-174 25 <- - • 1,170 00 • ••92,245.00 ; 2, 002, .090 00 16, 344 25 . 2,110, 679 25 / " 1827-.-.-. -.f.-.-.^'.-.-.-.-.-.....'.-•--- ! '- 23,577•32• T^ 131,565.00 -•2,869,-200.00 ^23,577 32 • 3, 024, 342 32 1828<;^:^:.v.vl - .1 .^-- — ^.. .•. .•^..—.^-^ .- '.22,606-24- -"-•"3, OSO-66' Tv 140,14500 vlr575;:60Q.OO r 25, 636 24 ra„741,381 24 1829 -...-. V.V...... V.v. ..•.-".•.•.•.• / 14,-145.00- • • • 2,435- 00 f -,;295,-7r7:.50 ;,'ij 994,^578 00 ( 16, 580 00 •• .2, 3.06, 875" 50 1830 1 • 1 If; 115 00 "• 643,105 00 ' 2, 495, 400 00 -' "17,115 00 3,155, 620 00 1831 .. -.^-~ . ,c-i.r :„ '—~33r592-60- 11-00- - "714,^270-00- -"3,-1757600-00. •""- "33,'-603 60 • 3'"923- 473 60 ^ 1832 ;;;;;; r . 23,620 00 .- 798* 435 00 2s-579,,000 00; .,,-23,-620 00 3,401,-055 00 - - -fji-X}^-^:zi-•:•.?••• • 1833 1 '•" "'''y ^'27,390 00 ""'"770'00' '978,5.50 00 2r7^9,l300 00 ' -'•••28,160 00 "3; 765, 710 00 1834 -. .-18,-551-00. - -600-00 •3,-9547-2-70-00'- ^3r41-5,-^02~G0 • .19 151-00 ._„_7„388-423 00 - : -- ... 38, 784 00 1835 •. ----- r- •-:-^-.::^s?v.- 705 00 2,186,1.75 00 3,443,003 00 - 39, 489 00 5, 668, 667 00 1836 21,110 00 1, 990 00 4,135,700,00 3, .60.6,100.00 23,.100.00 . .7,764,900-00 ;to 1837 . 55, 583 00 1,148, 305 00 2,096,010 00 55, 583 00 3, 299, 898 00 to 1838 63, 702 00 1, 809, 595 00 2, 333, 243 00 63, 702 00 4, 206, 540 00 Ox

Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1879

VIII—Statement of coinage from the organization of the Mint, ^c—Continued. to to Minor coinage. Total coinage. Period. Eive-cents. Three-cents. Two-cents. Cents. Half-cents. Gold. Silver. Minor. Total.

1839 $31, 286 61 $1, 3.55, 885 00 $2,176, 296 00 $31, 286 61 $3, 563, 467 61 1840 24, 627 00 1, 675, 302 50 1, 726,703 00 24, 627 00 3 426 632 50 1841 1 15, 973 67 1, 091, 597 50 1,132, 750 00 15, 973 67 2,240,321 17 1842 23, 833 90 1, 834,170 00 2, 332, 750 00 23, 833 90 • 4,190,753 90 1843 I 24,283 20 8,108,797 50 3, 834, 750 00 24, 283 20 11, 967, 830 70 1844 23,987 52 5,428,230 00 2, 235, 550 00 23, 987 52 7,687,767 52 1845 38, 948 04 3, 756, 447 50 1,873,200 00 38, 948 04 5 668 595 54 1846 41, 208 00 4, 034,177 50 2, 558, 580 00 41, 208 00 6,633,965 50 ]847• 61, 836 69 20, 221, 385 00 2, .379, 450 00 61, 836 69 22, 662, 671 69 1848 64,157 99 3, 775, 512 50 2, 040, 050 00 64,157 99 5, 879, 720 49 1849 41, 785 00 $199 32 9, 007, 761 50 2,1.14, 950 00 41, 984 32 11,164,695 82 o 18.50 44, 268 44 199 06 31, 981, 738 50 1, 866,100 00 44,467 50 33, 892, 306 00 1851 98, 897 07 738 36 62, 614, 492 50 774, 397 00 99, 635 43 63,488,524 93 H 18.5'^- 50,630 94 56, 846,187 50 999, 410 00 50, 630 94 57, 896, 228 44 1853 . 66, 411 31 648 47 39, 377, 909 00 9, 077, 571 00 67, 059 78 48, 522, 539 78 O 1854 42, 361 56 276 79 25, 915, 918 50 8, 619, 270 00 42, 638 35 34, 577, 826 85 1855 15, 748 29 282 50 28, 977, 968 00 3, 501, 245 00 16, 030 79 32, 495, 243 79 1856 26, 904 63 202 15 36, 697, 768 50 5.135, 240 00 27,106 78 41, 860,115 28 H 1857 63, 334 56 175 90 15, 811, .563 00 1, 477, 000 00 63, 510 46 17, 352, 073 46 1858 234, 000 00 30, 2,53, 725 50 8, 040, 730 00 234, 000 00 38, 528, 455 50 1859 307, 000 00 1.7, 296, 077 00 6,187, 400 00 307, 000 00 23,790,477 00 1860 342, 000 00 16, 445, 476 00 2, 769, 920 00 342, 000 00 19, 557, 396 00 ] 861 .- 101, 660 00 60, 693, 237 00 2, 605, 700 00 101, 660 00 63, 400, 597 00 186i 116, 000 00 45, 532, 386 50 2, 812, 401 50 116, 000 00 48, 460, 788 00 1863 478, 450 00 20, 695, 852 00 1,174, 092 80 478, 450 00 22, 348, 394 SO 1804 $36, 450 00 427, 350 00 21, 649, 345 00 548, 214 10 463, 800 00 22,661,359 10 1865 $105, 930 00 535, 600 00 541, 800 00 25,1.07, 217 50 636, 308 00 1,183, 330 00 26, 926, 855 50 o "1866 $66,240 00 270, 270 00 122, 980 00 187, 080 00 28, 313, 945 00 680, 264 50 646, 570 00 29, 640, 779 50 1867 1, 562, 500 00 133, 410 00 69, 880 00 113, 750 00 28, 217,187 50 986, 871 00 1,879,540 00 31, 083,598 50 1868 1, 445,100 00 108, 390 00 61, 330 00- 98, 565 00 1.8,114, 425 00 1.136, 750 00 1, 713, 385 00 20, 964, 560 00 1H69 1,101, 250 00 64, 380 00 34, 615 00 '78, 810 00 21, 828, 637 50 840,746 50 1, 279, 055 00 23, 948, 439 00 1870 487, 500 00 42, 690 00 22,890 00" 58, 365 00 22, 257, 312 50 1, 767, 253 50 611, 445 00 24, 636, Oil 00 1871 171,950 00 27, 630 00 22,105 00 62, 075 00 21, 302, 475 00 1, 955, 905 25 283, 760 00 23, 542,140 25 1872 89, 200 00 18,330 00 6,170 00 9, 320 00 20, 376, 495 00 3, 029, 834 05 123,020 00 23, 529, 349 05 1873 352, 400 00 34, 320 00 107, 330 00 35, 249, 337 50 2, 945, 795 50 494, 050 00 38, 689,1S3 00 1874 244, 350 00 29, 640 00 137, 935 00 50, 442, 690 00 5, 983, 601 30 41.1, 925 00 56, 838, 216 30 1875 94, 650 00 12,540 00 123,185 00 33, .553, 965 00 10, 070, 368 00 230, 375 00 43, 854, 708 00 1876 . . 132, 700 00 7, 560 00 120,090 00 38,178, 962 50 19,126, 502 50 260, 3.50 00 .57, 565, 815 00 1877 25, 250 00 36, 915 00 44,078,199 00 28, 549, 935 00. 62,165 00 72, 690, 299 00 1878 80 00 48 00 30, .566 00 .52, 798, 980 00 28, 290, 825 50 30, 694 00 81,120, 499 50 1879 1,175 00 984 00 95, 639 00 40, 986, 912 00 27, 227, 882 50 97, 798 00 68, 312, 592 50- Digitized for FRASER Total.- 1 5, 774, 345 00 856,122 00 912. 020 00 5, 430, 782 44 39, 926 11 1, 076, 945, 587 00 264, 390, 999 40 13, 013,195 55 1, 354, 349, 781 95 http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1879 IX.—Statement of coinage executed at the United States mints fi^om 1873 to 1879, inclusive.

PIECES. Mints. 1873. 1874. 1875. 1876. 1877. 1878. 1879. Total.

PHILADELPHIA.

Gold 888, 330 1, 917,160 278, 258 422, 265 494, 020 778, 384 . 936,564 5, 714, 981 Silver ' 10,329,600 9, 006, 700 11, 487, 2-00 29, 303, 000 • 36,145, 200 23, 483, 750 12,125, 850 131, 881, 300 Minor - - •- •- 18, 925, 000 19, 668, 500 14, 629, 500 14, 915, 000 4,196, 500 3, 059, 800 9, 620, 200 85,014 500

Total . 30,142, 930 30, 592, 360 26, 394, 958 44, 640, 265 40, 835, 720 27, 321, 934 22, 682, 614 222, 610, 781

SAN FRANCISCO.

Gold ' 894,600. 1,168, 000 1, 330, 000 1, 375, 600 1,637,000 2,102,100 1, 798, 500 10, 305, 800 o Silver 956, 700 3, 714, 000 8, 274, 000 27, 027, 000 26, 892, 000 19, 486, 000 12, 722, 000 99, 071, 700 H O Total . 1, 851, 300 4,882,000 9, 604, 000 28, 402, 600 28, 529, 000 21, 588,100 44, 520, 500 109, 377, 500

CARSON. o

Gold 41, 490 101, 539 130, 804 151, 603 91, 272 54, 348 24, 357 595 413 Silver . . - - 487, 950 552, 680 3, 062, 016 13, 907, 000 16, 513, 000 7,154, 000 1, 644, 000 43, 320, 646 w Total 529, 440 654, 219 3,192, 820 14, 058, 603 16, 604, 272 7, 208, 348 1, 668, 357 43 916,059

NEW ORLEANS. ^, h-l Gold Silver --- - - ' 737, 000 737, 000 Total 737, 000 737 000

Grand ibota l 32, 523, 670 36,128, 579 39,191, 778 87,101, 468"' 85, 968, 992 56,118, 382 39, 608, 471 376, 641, 340

I>0

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IX.—statement of coinage executed at the United States minis from 1873 to 1879, inclusive—Continued. to to oo VALUE. Mints. '-- - . t •'•1873:' "' 1874. '.:. 1875. '.•:.;•;: • 1876, - 1877. • "1878. • •;•;% • 1879. Total.

•• :r:>r

PHILADE-DPHIAr • - • <• - -. - • '• . . :.'' t Gold..,-.... ;ii7,rB6'4,.937 50 $26,'467,'3d0.db. .^532,870 bb $8,'260, 937 50 "$9, 803,'564 bb. $10,892,800 00 1 $n, 329,-'352 '00 ; $'89, 581,-791 00 Silver 'L..2,i;27.,.240.50.. ...2,1)63, J 35 „Q0^. 3, 645, 510 00 6, 600, 502 50 11, 444, 935 00 11, 809, 825 50 i 12,124, 882 50 51, 216,'d31 00 l^inor...-.•.-.. 494, 0.50.00 411, 925 00 230, 375 bb 260,'350 00 '62,165 00 30,"6"94"00 "W, •79-8 00 " 1,-587, 3!37 00

Total . 1 20, 786, 228 00 ; 29, 842, 390 00 9, 038, 755 00 15,121, 790 00 21, 310, 664 bb 22, 733, 319 50 . 23, 552, b3"2 50 : 142, 385, iV'O dd

i •• • SAN FRANCYSCO. o G^d..- ' -.16,. 967, .QGolhft: ^22,302,500 QQ 26,200,000 00 27, 036, 500 ob 32, 552, 500 bO 41, 039, 500 00 29, 329, 250 00 195, 42-7, 250 00 H Silver---:... 94, 500 00 2, 550, 500 00 4, 327, 000 00 8,953,'bbo do •].3, 549, dod 00 13, 868, 000 '00 12, 722,"000 "OB 56, 064, OOQ 00 o Total . j 17, 061, 5b0 00 24, 853, odo h 30, 527, 000 00 35, 989,500 ob 46,101, 500 00 • 54,907,500 00 j 42, 051,250 00 251,491,250 00

CARSON.' . '"^ - W Gold L_..617, 4.00.'Q'Q. 1, 672, 860 00 2,191, 095 00 ^, 881, 525 bb• 1, 722,135 bo 866,680 00 328. 31.0 00. 10, 280, 005 00 Silver .•. . 224, 055 00 469, 966 30 2,097,858 do 3,573,0b0•'0•0 3, 55'6,"0d0 "do 2, '613,000 OO 1, 644; OOO "00 14,177, 879 30

To'tal . 1 841, 455 bo : 2,142, 826 '30 4, 288, '953 00 6, 454, 525 00 5, 278,1.35 00 3, 479, 680 do , 1, 972, 310 00 24, 457, 884 30

NEW ORLEANS. . " • i Gold. .. r • a Silver Ii • - • 737,000 00 737, 000 00 CO .,^_ Total. 737, 000 00 737,Odd 00 •'" ,.."'- "•'•••• ?,'H30UH;Graaid1.0talL-.-.r:.:v.-.----:Y ^ j 38, 689,.183 00 j 56,838,216 30 ] 43, 854, 708 00 57, 565, 815 00 72, 690, 299 00 St, 120, 499 50 : 68, 312, 592 50 1 419, 071, 313 30

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DIRECTOE OF THE MINT. 229:;

X.—Coinage and medal dies manufactured- at the United Staies Mint at Philadelphia during the fiscal year ended June'30, 1879.

Philadel San Eran Denomination.- Carson-.- New,Or phia. cisco. leans. -Totalr- -

Eor ^old^coiaage: Dbuhle-eagle ....•..'. " 28' 60" 10- lb 108^: 9' • •••.•10" 10, 34- Half-eagle -.....:;.....: :.. 16- 16' .. ... ^ 10 51 ;;;;;• .9 Three-doUar .. .•..".. 2- 2" • 4- Quarter-eagle - - ... ir ;i6 Id 37 Dollar • ...... ' ; • •;2; 2- : ;• .

Total. ... ^. •....•68". : . : .' 24- 40 236 . 'c:['M: ''^>y.. Eoi?" silver coinage:' ' ' Standard dollar - .... •••..'. 157- 192- ":• 30- 40. 4i9V Trade-doUar . Id lb' Half-'doUar ". •• 15; AS'-^ 2 . , • 15- vf Dime' . .'.."•. •; 15' 15' ' 30'-

Total .' 174' " - . 247 3o; 40 491 Eor minor, coinage: Eive-cent • • 12- 12: Three-ceht ...... 8 Ohe-cent ";; _ 88; 88^

Total. 108; 108"

Total coinage dies .'...'. ; 3^0' '" 351- 54 80. 835''

Total nuniber of' dies'. , Gold'coinage :... 236 Silver coiiiage u' 491 Minor coinage ' 108 " Experimental dies .r. .-..... 28r- Proof coinage dies' - -w...... :...... 1...... !... 33^ Indian iieace medal (President Hayes) 3 President Grant...... '..... 3 John E. Howard (reiirodnction) 1 Anniiial^assay .-. .'.:•''.... .v 2 Total ...... 905

Xli-^'Medals'manufactiired at. tlie UaiitedMates.mint.at Philadelpliia. during the fiscal year.' ended-June'30, 1879.•

ISTame. iGold. Silver. Bronze.

Adams-Academy ..'..'.-. •.••.•'. =v-; Ad'aibs^ John i.-:... 50 Agassiz .J Ahni^hty Dollar. American Institute Amidon , Bainhridge, Captain 10 Baltimore Eemale College ... Biddle, Captain 'io Boston Caledonian , Brown Memorial , Carney Centennial Award Choate Coast Survey IJnited States. 10 Coinage, Eirst Steam 10 College of Pharmacy Decatur, Captain ..' 10 Denman School 25 Dodd, H. M Emancipation 10 Eillmore, M . 10 Eranklin School (Bostou) Georgetown College Grant, H. S

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230 REPORT ON THE FINANCES.

• XI.—Medals manufactured at the United States Mint at Philadelphia, ^'C.—Continued.

Name. Gold. Silver. Bronze.

. Hodge Dniversity •- Jackson, Andrew Ketchum, Jesse (large) Ketchum, Jesse (small) Life Saving (first class] Life Saving (second class) Lincoln, Ahraham 25 Lincoln School 20 Maine State AgTicultural Society 25 Maryland Institute 136 "72 Massachusetts Charitahle and Mechanics' Association. 241 289 McKee - Metis . "io Michigan State Agricultural Society , Middlesex Southern Agricultural Society 6 Kew England Agricultural Society New England- State Agricultural Society 'i25 Pacific Kailroad .: Pancoast, Dr Pennsylvania Horticultural Society Pennsylvania Institute for the Blind 12 Pennsylvania State Agricultural Society 21 PJDUOCK, James .-....- Preble, Captain .... ; 10 Bittenhonse,-David ..:; ::.-.•: 1 Sacred Heart (large) .."..: 200 Sagadahoc Agricmtnral Society 10 15 Saint Louis State Agricultural and Mechanical Association 62 14 - Thnixton, Captain - - - 10 Yalley Eorge Vanderbilt University Washington and Lee University "Wisconsm State Agricultural Society Total. 1,037 770

XII. -Medals and proof-sets of United States coins made and sold during the fiscal year ended June 30, 1879.

Nnmber Number i Description. made. sold. Yalue.

MEDALS. Gold 114 115 $2, 757 75 Silver i 1,037 1,041 2, 618 85 Bronze ." 770 -.617 653 50 Total 1,921 1,773 6, 030 10

PROOF-SHTS. Gold 26 17 731 00 Silver 518 .492 2,143 50 Total 544 509 2, 874 50

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DIRECTOR OF THE MINT. 231

XIII.—Minor coins redeemed, reissued, exchanged, and melted during the fiscal year ended June 30, 1879.

Denomination. Pieces. Yalue.

REDEEMED. Copper, one-cent pieces 552, 957 $5, 529 57 Nickel, one-cent pieces 1, 438, 528 14, 385 28 Bronze, one-cent pieces ;... 6, 797, 475 67, 974 75 Bronze, two-cent pieces 2, 823, 741 56, 474 82 Nickel, three-cent pieces : 994,458 29, 833 74 Nickel, five-cent pieces 4, 986, 921 249, 346 05 Total , 17, 594, 080 423,544 21

EEISSUED. Bronze, one-cent pieces 6, 560, 000 65, 600 00 794, 600 23, 838 00 Nickel, three-cent pieces 5, 400, 400 270, 020 00 Nickel, five-cent pieces 12, 755, 000 359, 458 00 Total...: EXCHANGED. 300 6 00 Bronze, two-cent pieces 3, 299 98 97 7,300 365 00 Nickel, three-cent pieces .'^. Nickel, five-cent pieces ' 10, 899 469 97 Total

MELTED. 222, 000 2,220 00 4, 033, 000 80, 660 00 Bronze, one-cent iDieces Brouze, two-cent pieces 4, 255, 000 82, 880 00 T ot al

XIY .—Statement of imports and exports of gold and silve)- during the fiscalyear ended June 30, 1879 {from monthly returns of the Bureau of Statistics). IMPOETS.

Gold. Silver. Ports. Total. Bullion. Coin. Bullion. Coin.

NEW YORK. July, 1878 $31, 614 $160, 530 $7, 2-92 $899, 846 $1, 099, 282 Angust, 1878 18, 545 80,109 . 4,271 630, 815 733, 740 September, 1878 18, 742 313, 766 4,332 314, 232 651, 072 October, 1878 23, 337 2, 068,161 1,519 452, 792 2, 545, 809 November, 1878 13, 085 199, 262 59,495 374, 672 646, 514 December, 1878 39, 035 89, 983 30, 460 456, 784 616, 262 January, 1879 20, 595 199, 250 5,181 750, 532 975, 558 Eebruary, 1879 6,091 85, 728 5,780 1, 341, 621 1, 439, 220 March, 1879 11, 382 83, 548 1,107 510, 253 606, 290 April, 1879 26, 285 74,173 646 474, 983 576, 087 MTay, 1879 20, 846 52, 471 7,070 773, 406 853, 793 Jnne, 1879 18, 581 67, 670 2, 902 933, 529 1, 022, 682 Total 248,138 3,474,651 130, 055 7, 913, 465 11, 766, 309

SAN FRANCISCO, July,1878.-. 103, 436 245, 012 382, 981 731, 429 Angust, 1878 82,120 28, 317 91, 604 34,145 236,186 September, 1878 166, 806 228, 909 423,* 030 818, 745 October, 1878 161, 555 100, 382 306, 323 568, 260 November, 1878 170, 787 222, 842 134, 018 507, 647 December, 1878 72, 999 226, 073 277,117 576,189 January, 1879 45, 035 281, 200 179, 495 505, 730 Eebruary, 1879 23, 667 147, 875 168, 405 339, 947 March, 1879 43, 632 10,535 43, 000 272, 474 369, 641 April, 1879 41, 560 89, 403 256, 004 386, 967 May, 1879 47, 227 203,163 249, 759 500,149 June, 1879 40, 252 • 74, 477 275, 655 394, 245 Total ,076 42, 713 1, 953, 940 2, 939, 406 5, 935,135

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232^ REPORT ON THE FINANCES.

XIY .—Statement of im2)orts and exports of gold and silver, fc.—Continued.

- -• IMPORTS—Continued.

Gold. Silver. Ports. Total. Bullion. Coin Bullion. Coin,

ALL OTHER PORTS. Jnly,1878 .-.-. $37, 249 $46,823 $41,194 $125,266 August, 1878.. - $7, 205 23, 462 66, 497 97,164, September, 1878 22, 793 86, 278 109, 071 October, 1878 2, 250 244, 760 30, 765 133, 373 411,148 November, 1878 4,107 29, 227 16,600 144, 760 194, 694 December, 1878 4,175 307, 481 55, 216 155, 560 522, 432 Jannary, 1879 •. 1, 522 • 8, 305 1,807 94, 653 106, 287 Eebruary^ 1879.. ^ ...•:.... I 21, 900 96, Oil 127, 959 245,870 March, 1879. '•..... 2,046 37, 357 16,'249 153, 571 209, 223. April, 1879"..: - .'...... 638 28, 238 49, 863 78,119 156,858. May, 1879...... ". 22. 671 42, 010 30, 088 162, 052 256, 821 June; a879 : 5,416 7,558 20, 471 126, 277 159, 722

Total.. 50, 030 810, 340 363, 893 1, 370, 293 2, 594, 556

! dCotal imports . 1,297,. 244 4, 327, 704 2,447,1 12, 223,164 20, 296, 000

EXPORTS (EOEEIGN).

Gold. Silver. Ports. , Total. . Bullion. Coin. Bullion.. Coin.

NEW YORKI Jnly, 1878 .. $173, 250 $21,135 $343, 706 $538. 091 • Ansrust 1878 10,126 276, 444 . 286,570 September 1878 .' - 6,737 209, 826 216,563 October, 1878 - 4,0.50 317,, 133 321,183 November 1878 $6, 025 33, 403 ' 359, 724 399,152 December 1878 700 15, 960 289,102 305, 762 January, 1879 2,552 5,334 348, 261 356,147 Eebruarv, 1879 .".-.' - 75, 000 424,211 499, 211 March, 1879 : -. 7,500 55, 694 431, 070 494 264 April„1879 "... 67, 276 1,679 154,099 223, 0.54 May,' 1^879 .....'. : - 15,350 12,154 - 281,. 573 309, 077 June 1879 ;, - lp,723 371,112 386, 835 Total 6, 025 326,541 197, 082 3, 806, 261 4,335,909- SAN FRANCISCO. Julv 1878 •. 230 • 155 • 42,155 • 191,898- • 234)438? Angust 1878 "..' - i 720 • 39,962 111, 414 152; 096 •. Septeinber 1878 61, 250 113,378 174,628" October -1878 ... 3,000 64, 500 147, 349 214,-849? Noveinber 1878 .. . : 150,-86r 150, 861 • December 1878 -' -. - 61, 922 152,768' 214 690' Jannary, 1879. 111, 783 296, 081 407|864-' Eebruary, 1879 ; •. •. 1,145 30, 790 122, 753 ' • 154, 688- March • 1879 31, 370 68, 413 99 •783'' April 1879 '. 790,000 222, 083 1, 0i2. 083i. Ma-y; 1879 104,703 7, 200 • 111, 903"^ June, 1879 • 45,600 65,433- 111 033 •

Total '.. 230 109, 723 1, 286, 532 l,-642,-431 • 3, 038, 916 , , ALL OTHER PORTS. July, 1878 ....:.... :...': Auetist. 1878 ..-'.... September, 1878 • October, 1878 ....:.. ... November, 1878 1'. December, 1878 January, 1879 EebrnaiT 1879 • . March, 1879 50, 000 50 OOO-'^ April, 1879 May, 1879 16, 000 16, OOO'- June, 1879 .. 10 1,571 1 581-'

Total 10 67, 571 67, 581

Total exports (foreign) 6, 255 436, 274 1, 483, 614 5, 516, 263 7 442 406

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DIRECTOR OF THE MINT. 23S>

XIV.—Statement of imports and exports of gold and silver, fc;—^C.ontiiiued.

EXPORTS (DOMESTIC).

Gold. Silver. Ports. Total. Trade dol Bullion. Coin. Bullion. Eractional. lars.

July, 1878 • $1,480 $85, 000 $21, 000 $107, 480 August, 1878.... 508,000 185, 600 1, 500 715,100 September, 1878. 9,003 145, 600 375 154, 978 October, 1878.... 32,389 130, 000 19, 500 181, 889 Noveinber, 1878 . $2, 870 261, 030 15, 000 278, 900 December, 1878.. 300 22, 600 297, 650 2,027 322, 577 January, 1879 •... 740 38, 051 715, 461 13, 000 767, 252 Eebruary, 1879 .. 86, 844 1, 302, 445 30, 000 1, 419, 289 March, 1879 60,. 099 1,.753, 246 38,788. 1, 852,..133. April, 1879 500 6,364 1, 303, 526 53, 000 1, 363, 390 MTay, 1879 1,974 92; 543 1, 525, 626 16, 000 1, 636,143 June, 1879. .:.::.• 1,400 1, 341,500 851, 976 26, 720 2, 221, 596 > Total. 7,784 2,459,903 8, 296,130 235, 035 11, 020, 727'

SAN FRANCISCO. July; 1878...... 1,830 27,402 166,150 121, 840 317,222* Aiigust, 1878..•.. 150 18,'690 44,193 150, 679 300 214i 012 • September, 1878 . l,-878- 14,"584 - 20, 400 70,954 107,816'- October, 1878'.:.; 5,640 13,176 163,310 170, 450 352i-576"- November, 1878 . 2,140 53,438 972,472 89, 625 ,117,675'- December, 1878.. 1, 820 43, 347 430, 728 93,122 569,'017 • January, 1879 ... 104,753 408, 600 11, 505 524,858 Eebruary, 1879 .. 27, 524 192, 450 29, 420 250, 394 March, 1879 8,669 147,199 392, 079 547, 947 April, 1878 670 19,' 580 589,359 28,111 637 720 May, 1879 2,762 32, 671 245, 230 31, 201 1,740 313, 604 June,* 1879...... • -100 • 80,343 206,843 27,888 315,174 ^

Total . 444,177 3, 586, 934 3,216,874 ,3,.04d 5, 268, 015

ALL OTHER PORTS. July, 1878'...... :....:.'.. 105,100 15, 080 120,180 August, 1878 I...:.::.-.-. S.ept^mber, 1§78 1,180 •2, 526 3; 706 October; 1878.,.: 324, 230 670 324,900 November, 1878 ..:'..'.... 101,100 2Si5' 101, 335V Dec6iubei?, 1878...... 50 j OQO 500 50,500 Jaiuiaty, 1879 ...... 200,000 1,288 201, 288.^ Ilebruary,, 1879 ..:...:... 1, 600 1,600,, Mai;cli, 1,879 717 16, 400 17,117 ' Aprii^'1879 •--.:...:...... 331, 920 4; 400' 336, 320'• May,ia79 100, 000 6,628 . 106, 628. June, 1879'..'.:'.'...: ,*.. 1,984 735 2,'719

Total : 1, 216, 231 50,062 1, 266, 293

Total exports (domestic). 4,120, 311 11, 883, 064 1, 238, 749 288,137 17, 555, 035

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234 REPORT ON THE FINANCES.

XV.—Average monthly price of fine silver hars'at London and the equivalent j)er ounce fine in United States money ivith exchange, at par, and the average monthly 2^'^'ice at New Yorlc of exchange on Londoiuand the average montlily 2yrice of fine silver hars at Neiv York dui' ing the fiscal year ended June 30, 1879.

Pence. July 52f $1 15.359 $4 87 $1 15.443 $1 15.732 August 52f- 1 15. 359 4 88. 50 1 15. 798 1 15. 377 September 5l| 1 13. 441 • 4 87 1 13. 523 1 13. 831 October 50/s 1 10. 564 4 86 1 10. 690 1 10.742 November 1 10. 838 4 87 • 1 10. 918 1 10.741 December 1 09.605 4 88 1 09. 909 1 09.893 January : 50^ 1 09. 879 4 88 1 10.184 1 10. 321 Eebruary 1 09. 331 •4 89 1 09. 859 1 09. 546 Ma.T.h . . . . 49i49I% 1 08. 646 4 89. 50 1 09.171 1 08.827 AprH - - 49fg 1 09.194 4 88. 50 1 09. 609 1 09. 343 Mlay 50§ 1 10. 427 4 89 1 10. 961 1 10. 619 June 52^ 1 13. 989 4 90 1 14. 774 1 14.122 Average 50{§ 1 11. 386 4 88. 04 1 11. 616 1 11. 875

XVI.—Circular exhihiting the values in United States money of the pure gold or silver representing, res2?ectively, the monetary units and standard coins of foi'eign countries, in com2Mance with the act of March 3, 1873.

TREASURY DEPARTMENT, Washington, D. C, January 1, 1879. The first section of the act of March 3, 1873, Statutes at Large, volume 17, page 602, reproduced in section 3564 of the Revised Statutes, provides ^^that the value of foreign coin, as expressed in the nioney of account of the United States, shall be that of the pure metal of such coin of standard value," and that " the values of the standard coins in circulation of the various nations of the world,shall be estimated annually by the Director of the Mint, and be jiroclaimed on the 1st day of January hy the Secretary of the Treasury." The estimate*^ of values contained in the following tahle has heen made hy the Director of the Mint, and is hereby jiroclaimed, in compliance with the above-stated provisions of law:

Value Country. Monetary unit. Standard. in U.S. Standard coin. money.

Austria Eloriu. 8 gulden or 20 francs, gold $3 85.1 Belgium Eranc Goldandsilver. ;0 19. 3 5,10, and 20 francs. Bohvia Dollar Goldandsilver. 96.5 Escudo, ^ bolivar and bolivar. Brazil Mih-eis ot 1,000 Gold 54.5 None. reis. British Possessions Dollar Gold... 1 00 in N. A. r Bogota Peso Gold.. 96.5 Central America Dollar Silver. 93.5 Dollar. Chili Peso Gold.. 91.2 Condor, doubloon, and escudo. Denmark Crown Gold.. 26.8 10 and 20 crowns. Ecuador Dollar Silver. 93.5 Dollar. • Egypt Pound of 100 Gold.. 4 97.4 5,10, 25, and 50 piasters. piasters. Erance Eranc Goldandsilver. 19.3 5,10, and 20 francs. Great Britain Pound sterling.. Gold 4 86. 6^ ^ sovereign • and sovereign. Greece Drachma Gold and silver- 19.3 5,10, 20, 50, and 100 drachmas. Gennan Empire Mark Gold 5,10, and 20 marks.

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BIRECTOR OF THE MINT. 235

Value Country. Monetary unit. Standard. in U.S. Standard coia. money.

Japan ... Yen Gold $99.7 1, 2, 5,10, and 20,.yen. Inaia Blip ee of 16 annas Silver 44.4 Italy Lii-a Gold and silver.- 19.3 5,10,20, 50, and 100 lire. Liberia * Dollar Gold 1 00 Mexico .... DoUar • SUver . . 1 01.5 Peso or dollar, 5,10,25, and 50 cent avo. Netherlands. • Elorin Goldandsilver.. 38.5 Elorin, ten guldens gold($4 01.9). Norway ... . . Crown Gold' 26.8 10 and 20 cro-wns. Peru ".. Dollar Silver 93.5 Portugal MUreis of 1,000 Gold 1 08 2, 5, and 10 milreis. reis. Hussia Eouble of 100 SUver 74 8 ^, ^, and 1 rouble. copecks. Sandwich Islands Dollar Gold 1 00 Spain Peseta of 100 Goldandsilver.. 19.3 5,10, 20, 50, and 100 pesetas. centimes. Sweden Crown Gold 26.8 10 and 20 crowns. Switzerland Eranc Goldandsilver.. 19.3 5 10, and 20 francs. TripoU Mahbub of 20 Silver 84.4 piasters. Turkey Piaster Gold 04.3 25, 50,100, 250, and 500 piasters United States of Co Peso Silver . . 93.5 lombia.

The ahove rates will he taken in estimating the values of all foreign merchandise, made out in any of said currencies, iniported on or after Jannary 1, 1879. JOHN SHERMAN, Secretary of the Treasury.

XVII.—Do^nestic production of gold and silver.

GOLD.

o ih- i li a lit o S 1 1 a a o lai o >^ Years. o a 6 1 o|i %?.^ 1 . 1 a--o .2 O •43 o{H o ^-r, ,-.0 0 %^^ CO

o (Beporte d b y Ne w Yor k as o say-ofhce. ) foreig n coi an d buUion , jew - i n th e art s an d inanufactures . 1 coin . a Ad d domesti c productio n use Deduc t coinag e o f stoc k n hand ,

. elers ' bars , an d Uuite State s < o'o i 1874 $50, 442, 690 $25, 4.08, 659 $25, 034, 031 $3, 433, 746 $1,144, 582 $3, 878, 543 $33,490,902 1875- 33, 553, 965 7, 701, 982 25, 851, 983 4, 036, 574 1, 345, 524 2, 233, 775 33, 467, 856 1876 38,178, 962 4, 291, 876 • 33, 887, 086 3,114, 888 1, 038, 296 1, 888, 896 39, 1929,16 6 1877 44,078,199 1, 952, 537 42,125, 662 2, 765, 394 921, 798 1, 084, 536 46, 897, 390 1878 52, 798, 980 6, 876, 640 45, 922, 340 3, 809, 026 1, 269, 675 205, 319 51, 206, 360 1879 40, 986, 912- 5, 980, 953 35, 005, 959 2, 901, 844 967, 281 24, 774 38,899,858

SILYEB.

1874 5, 983, 601 219, 063 5, 764, 538 3, 304, 920 1,101, 640 27,153, 496 37,324, 594 1875 10, 070, 368 *221, 437 10, 291, 805 3,178, 381 1, 059, 460 17,197, 914 31,727, 560 1876 19,126, 502 *604,152 19, 730, 654 2, 859, 014 953, 004 15, 240, 344 38, 783, 016 1877 28, 549, 935 4, 005, 996 24, 543, 939 2, 830, 680 943, 560 11, 475, 394 39, 793, 573 1878 28, 290, 825 3, 254, 637 25, 036,188 3, 907, 614 1, 302, 538 15, 035, 045 45, 281, 385 1879 27,227,882 4, 276,114 22, 951, 768 4, 482, 975 1, 494, 325 11, 883, 064 40, 812,132

"During these years the deposits of domestic silver remaining uncoined exceeded the deposits of for- iga bullion, &,c., and the balauce is added iustead of deducted.

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236^ REPORT ON THE FINANCES.

XVIII —Gold and silver used in the arts and manufactures.

UNITED STATES ASSAY-OFFICE AT NEW YOKK, • _ Se2Heml)er 19, 1S79.' " SIR: Referring to'yoiir letters of May 7 aiid Septemher 4,1 herewith transmit'statue--;' ment of the probable 'amount of gol'd aiid silyer bullion consumed in the "arts and- manufactures annually from July 1,1873, to Juiie 30, 1879. Of necessity thfese figures are approximate only; For reasons unexplained depositors - of'fjeAvelers^" bars and.'7kings/'refufee to :state their character. The information Avhich yOir desirediin yonr letter of May 7, 1879j.w"as the amount/ of hullion used in the arts, derived frpiii deposits otV1.4t. Coin; 2d. ^'Foreign hullion"; . 3d. Plate, jewelry,' and ^'hase bar's",- '4th. Domestic bullibn. The 1st and 2d classifications £ii'e; too inconsiderable to note;" I habve therefore con fined my report to the 3d and 4th. The estimate is jbased upon the supposition that the majority of small bars'drawn ;; hy hankers from this "offi'ce is disposed of'to' nianufacttiring jewelers. As it is hardly"-' probable that such bars should form any portion of the bullion exported, inasmuch as.^ the custom exists ahroad of imiiosinga tax.for assaying upon each bar, regardless of its"] weight or value, shipjiers of bullion preferring bars of the largest dimensions that'' can he conveniently handled with "the-view of lessening the assay charge. Very respectfully, .- , . J. M. FLOYD, Acting Su2)erintendent. Hon. H. C. B.URCHARI), • . . Director of the Mint, Washington,!).'C.

Statementof amountof hullion derived from dej)Osits at the assay-office at New York and mint at Philadel2)hid, used iii'the arts and manufdciures, from July,1,187S, to June'30, 1879.

ASSAY-OFFICE AT-NEW YOEK.

Gold. Silver.

Fiscal year. Domestic Plate, &c. Domestic Piate^ &c. bullion. buUioB.

1874 $230, 000 $3,433, 746 $74, 000 $3,'364, 920 1875. : 315, Odo 4,036, 574 114, 000 3,178,381 1876 . . 230, 000 3,114, 888 104, 000 2, 859, 014 1877 - - 226, 000 2,;765, 394 153, 000 2, 830, 680 1878 202, 000 3, 809, 026 121, 000 3, 907, 614 1879 - - : 225, 000 2, 901, 844 123, 000 4, 482, 975 1,428,000 20, 061, 472 689, 000 20, 563, 384

ME^T- AT PHILADELPHIA.

G-old. Silver. . :

Fiscai year. Domestic United States Domestic . Plate, &c. and foreign Plate, &c. New York as- buUion. coin. bulUon. say-ofl3.ce bars.

1874'.' •' $36,761 59 $1,507 83- $57,046 79 $171, 843 74 $17,466 11 $112,127 56' 1 1875...... 21, 376 49 1, 076 12 18,261 31 44, 074 54 103,717 00 130, 28lY20vf 1876 . 27, 491 79 lO; 028- 22' 23, 572 99 22,622 31. 39, 857 -18^/ 1877.:. .... 46, 958' 72 17, 307 13 17, 962 93 16; 508 90 51, 927 26. f 1878'...-.... 47,789^73 13,^964 10 32,785 44 44, 286 94- 24, 666 ^88'.• 187i9 50, 982 00' 39, 015 82 32,128 88 72, 516' 76 . 20, 968 •:58^f. 231, 360 32 2, 583 95 155, 623 37 322, 368 52 277,118 02 379,828-66-'-

[NEW YORK, Octoler 28, 1879. DEAR SIR : I am in receipt of your letter of 20th instant, aud should have given prompt reply to your inquiries, hut liave delayed in order to obtain more reliable

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DIRECTOK .OF THE MINT. ::237

information on the subject. We have furnished to manufacturers a large amount of fine silver bars of private refiners without passing through the assay-office. Then there ds a large amount of granulated silver used in the arts, much of which .does not pass throngh said office, amountiug to at least 1,000,000 ounces. Some of the .manu facturers use Mexicau dollars. Our trade and standard dollars are not used now, being. too valuaMe to be melted into bullion. There, have been some of our. assay bars ex- jiorted, but in small amounts, auiounting iu my estimation to about one-half of the silver bars furnished by iirivate refiners for the- arts. I think, from the hest .informa- . tion I can obtain, that you would be safe in estimating 1,000,000 ounces of fine silver to be added to the report of assay-office, and gold at least $2,000,000. -Iknow^that some of our largest Jiianufacttirers use only (/oM com, and then our private refineries buy large amounts of gold and gold dust, which they roll into plate, &c., for manu- 'facturers. . • • ThQ facts, if ever obtained, will show that we areusing §10,000,000. of gold, and silver annu ally for the arts, &c., in tbis country. . Our ouly consolation is that it aidshin :retaiii- ing it here. • Veiy respectfully, yours, PARKER HANDY. Hon. HORATIO C. .BURCHARD, , Director of the Mint, Washington,. D. C.

Tahle showing the-annual consunqMon of United States coin, old manufactured articles {in- • eluding foreign coin), and domestic J) ullion, conqriled from returns received in answer to a , circidar letter, of the Director, of-the-Mint wider date of Septemher 10, 1879.

7^ tp • p • Dnited States coin. 'ni Glassies of manufacture. o . .. . •J cr. • 5 • s . o tu r i n g , found , o r c business .

N^on-man i " 'o

"Watches and jewelry 2, 953 1,184 366 818. 1,769 .$1,277,216 • $39,-020 "Watch cases '.-.:.. 73 • 32 11 21 -41 146;468 =- 6,.324 Leaf . ... • 38 16 i43 3 .,22 39;,400.' 2, 620 Plate 144 59 31 28 85 1,470 1,485 Chemicals 105 44 7 37 61 6,520 130,334 Instruments 193 66 20 46 127 2,185 123 • . 1 ; 3,506 1,401 -448 953 2,a05 1, 473, 259 179, 906

Eoreign coin and Domestic bullion.. Total. • bullion.

Classe„slof mamifajoture.

o silver . j.'o

'in Tota l gol d

patches, and jewehy $305, 615 $91, 086 $2, 771, 386 $406, 415 $4, 354, 217 $536, 521 $4, 890, 738 ^Watch cases :.'. 20, 000 - 2, 000 516, 743- 80, 682 683, 211 89,006 • "772, 217 Leaf 52,176 5, 613 650,919 23,.482 . 742,495 ,31,715 774 2J0 Plate 7,800 22, 500 45, 965 1, 661, 688 55, 235 1, 685, 673 1,740,908 Chemicals 504 23, 000 4,068 114, 846 11,092' 268,180 279, 272 Instruments .". '. 65 . 40 1,475 2, 250 1,638 3,888 386,160 144,239 3, 989, 081 2, 288, 588 5,848,500 12,612,733 8,461,23r^

...... :.,:XJ^.^Domfi.st'k,p)Kodii.ction._ ; , NEVADA BANK OF SiVis' FRANCISCO, • Sa/n Francisco, Gal., ^Se2ytemher.4, 1879. \ SIR : Suhjoinedlbeg tohaiid you the official figures asked, for per your letter of the •27th ult.; ''giving tile j)rod.uction from the Bonanza mines for the fiscal year ended June 30, 1879, as well as the total ]iroduction" : CONSOLIDATED VIRGINIA. Year ending June 30, 1879 : : Gold..:...... --.. $1,255,793. 18 Silver i 1,357,197 04 Total '2^(612,990 2i

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238 REPORT ON THE FINANCES.

CALIFORNIA. Year ending June 30,1879: Gold 42,165,258 86. Silver 2,053,985 18 Total 4,219,244 04 Total combined product of each mine to and including above: Consolidated Virginia. |62,228,356 10 California.... 45,132,079 65 Total bullion product of the Big Bonanza to June 30, 1879.... 107, 360, 435 75 Replyiug to your further question, I beg to say that I am in xiossession of no infor~' ination touching the probable future yield of the mines of Nevada other than what i& contained in the reports of mining superintendents. I remain, yours, truly, LOUIS McLANE, • President. Hon. HORATIO C^^ BURCHARD, Director of the Mint, Washington, D. C.

TERRITORY OF DAKOTA, • • Yankton, August 14, 1879. SIR: Your letter of lhe 28th ultimo, asking for statistics of mineral development^ production of bullion, &c., in Dakota, is received. I aui unable to give accurate sta tistics or even reliable estimates. The productions ofthe ''Black Hills" do.not come this way, and communication between the "Hills" and this place is more difficult, more expensive, and requires more time than hetween this place and New York or Washington. I am inclined to think from all I can learn, making due allowance for wild and exaggerated statements, that the production for the fiscal year ending June 30, 1879, Avas hetween three and four million dollars. It AAÎU probably be doubled the present year, but I haAê no detailed reliable statisics. I haAê written to the hanks at DeadAvood, who handle the hullion to a large extent, to collect and transmit to me information on the subject or send directly to you if they prefer it. Very respectfully, your obedient serAânt, WM. A. HOWARD, Governor. Hon. HORATIO C. BURCHARD, Director Mint, fc. P. S.—Ifl obtain anything I Avill promptly communicate.—W. A. H.

FIRST NATIONAL BANK, Deadwood, Dakota, Aiigust 11,1879. SIR : I have a letter from Hon. Wm. A. Howard requesting me to give yon informa tion regarding the gold product of this country for fiscal year ending June 30, 1879. From actual facts and reliable information, I have placed the gold product of the region known as the " Black Hills" for the period inquired of as $3,000,000. If every ounce of gold could be got at I am sure that this could not be varied one way or the other to the extent of $25,000. • Yours, truly, S. N.^WOOD, Cashier. DIRECTOR OF THE MINT, Washington, D. C.

TERRITORY OF WASHINGTON, EXECUTIVE DEPARTMENT, Olympia, Aitgust 30, 1879. SIR : In reply to your communication of the 28th ultimo, requesting reliable informa tion of the yield of precious metals from the mines of Washington Territoiy during the last fiscal year, I have the honor to state that I regret that I am unable toj_give you reliable information on this subject. Gold mining only is carried on. Several hundred Chinese are engaged in placer mining on the Columbia RiA-er and its tributaries in the eastern portion of the Terri tory. The gold taken out by them is sold at Walla Walla, at Portland, and at San. Francisco to brokers, Avho seldom make entries of the ]ilace of production. The aver age daily amount realized jier man is probably not more than two. or three dollars. During the year placer mining has also been prosecuted to some extent hy citi-

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DIRECTOE OF THE MINT. 239

zens on the Weenatchie River in Eastern Washington and the Skajit River in West ern Washington. Reports are often receiA^ed of nuggets having been found varying in value from $100 to $200. Full reliance cannot he placed upon these reports. Gold, silver, copper, lead, cinnabar, and other ore^s exist in the Cascade and Coast Ranges of Mountains. Gold quartz mining to a limited extent has been engaged in with isbiv results. Puhlic attention has recently been strongly directed to quartz mining, and more interest is manifested in the subject than at any former period. The general opinion is that precious metal:s abound in the mountains referred to, and that the prospecting going on will dcA^elop minerals as rich as those of California, Nevada, or Colorado. Mv estimate of the gold prodnction of the Territory for the past fiscal year is $300,000. I have the honor to he, very respectfully, your obedient servant. E. P. FERRY, Governor. Hon. HORATIO C. BURCHARD, Director of the Mint, Washington, D. C.

WELLS, FARGO & Co., &c., San Francisco, August 5, 1879. DEAR SIR : Noting yours of the. 28th ultimo, the inclosed is but an approximation ^ but probably as nearly correct as we can attain to, for a half-yearly report. Yours, truly, JNO. J. VALENTINE, * General Superintendent. Mr. HORATIO C. BURCHARD,. Director U. S. Mint, Washington, D. C.

THE RESOUCES OF CALIFORNIA. We cannot convey a better or more accurate impression of the great resources ot our State than hy the following tables, which ATHI speak for themselves :

Statement of the amount of the precious metals produced in the States and Territories west of the Missouri Eiver for the six months from January 1 to June 30, 1879.

Gold dust and Silver bullion, Ores and base Total of gold, States and Territories. BuUion, by buUion, by silver, and .. express. by express. freight. lead.

California $7, 680, 675 $385, 017 $350, 000 $8, 415, 692' Nevada 55, 916 9,189, 344 3,125, 000 12, 370, 260' Oregon 284,170 284,170* Washington. 27, 479 27, 479 Idaho 312, 715 184, 217 110, 000 606, 932- Montana 841, 000 640, 000 •550, 000 2, 031, 000 mah 201, 302 1,169, 361 1, 510, 000 2, 880, 663'. Colorado 1, 260, 000 725,000 .4, 000, 000 5, 985, 000^ New Mexico. 41, 500 165, 000 20, 000 226, 500- Arizona 98,130 361, 866 450, 000 909, 996 Dakota 1, 050, 000 1, 050, 000 11, 852, 887 12, 819, 805 34, 787, 692

Production of gold and silver in the UnitedStates west of tlie Missouri Eivei'.

0 Year. Gold. SUver. Total.

1870 $33, 750, 000 $17, 320, 000 $51, 070, 000 1871 34, 398, 000 19, 286, 000 53, 684, 000 1872 38,177, 395 19,924, 429 58,101,824 1873 .. 39, 206, 568 27, 483, 302 66 689 860 1874 38, 466, 488 29, 699,122 68,165 610 1875 39, 968,194 31, 635, 239 71, 603 43$ 1876 42, 886, 935 .. 39, 292, 924 82,179 856 1877 44, 880, 223 45, 846,109 90, 726, 332 1878....'.. . 37,576,030 37, 248,137 74 8'^4 167 1879 (January to June) - - - 15, 000, 000 17, 000, 000 32, 000, OOOt

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'.240 REPORT ON THE .FINANCES.

THE UNITED STATES ASSAY-OFFICE AT HELENA, MONT., October 15, 1879. . -SIR :i In.re spouse to your inquiries about the product of gold and silver of Montana ...for the fiscal year 1879,1 would state that it is my opinion that the yield.of gold from % .placer niining is iiot as large as last year. This is due not to the fact that they have .''been worked.out hut on. ac.QOunt of scarcity of Avater this year. ,Last jêar the.re.Ayas ..an abundance of water in. all the placer districts from the- 1st of .May uu.til the 1st ,pf • September, Av,hile this, year many, of the miners could,not. begin o,perations untilthe :15th of .May, and were .compelled .to quit by the middle of iAugiist. This, naturally .:. xiutailed the. production. There has been great enterprise shown in this branch of niining by= large,com panies reclaiming considerahle tracts of " old Avorked-out". iilacers hy building " bed rock "Aumes. This .has been done in this Territory in the past year AAnth no little success. Similar tracts of " worked-out" placers haye heeUi reclaimed,by soine large companies mining bythe " hydraulic" process. By these new and improved methods of placer mining the gold product of Montana is destined to increase rather than de crease in the near future. No UCAA^ placer '' diggings " liaAê been discoAêred except those in the Judith Basin. .At present there is a great stampede to this place, but AA^hat the results AAill he, I am.not at present sufficiently informed to Aôuchsafe an opinion. There is one great drawback to placer-mining in this Territory, and that is, many . large capitalists liaAê^ bought the miners' rights in inany ofthe placer districts, and have the land patented under United States mining laws. These.tracts now.lie uii- AAôrked, the owners Avaiting for cheaper transportation and cheaper rates of Avages in order to .work them more profitably. As soon as the presence of a raihoad in the Ter ritory will Avarrant cheap rates of transportation, and cheaper wages, all these ^districts noAV idle A^-illbe Avorked and add their product to the world's, stock, of precious metals. The largest single nugget of gold discovered in.this Territory during the past year was deposited in this of&ce on the 29th day of April, 1879, and weighed, as deposited, 47.80 ounces, AAîth a fineness of 957 in gold, and was entirely free from quartz or dirt, being a solid mass of metal, haAang a A-alue $947.77. This was the largest piece found, though many nuggets Aârying in .AVeight from a half ounce to 28 ounces Avere found. The quartz mining in gold has-shown great and unusiial actiAdty in the past year, a large number of iieAV and A-aluable leads having been discovered. Many new,mills and arastras baAê heen erected, largely .increasing the product of golcl" from this .sou ree. There is great actiAdty also in prospecting. ScAêral quite recent rich discoveries haAê stimulated old prospectors to rencAved exertions, and as a consequence new "finds" are being reported continually. iThe present indications all point to a.raiiid growth ofthe quartz-mining'-interests of Montana. ••There is no doubt but that this country Jls Aêry^superfiGially--prospected,-and-even-dis60vered-mines-haye-hu-t'a. sniall^rfracU pf,the. development .that ithe.quartz leads .of Nevada, Colorado, or even those of the 'Black .Hills,have. ' 'V - . . The increased yield-of gold from quartz has more than OAêrbalanced the loss in the ...placjer.yield this year, making-tlie_total product of.gold-of^Montanain 1879 larger..tha.n ^ last year. • The,main range,of the Roeky: ,Monnt.ains'<.has,' as in other parts of America,;.ppened • jip ricii leads of goid-beariiig quartz, .in ;this: Territory. The "Stempel .districty-near Helena, immediajtely upon, the .summit pr»'diy-ide of these mountains, embraces a layge tract of country,, and the most,;remarkable yeiiis of quartz have been discovered'liVe -in the past year or so. Thisi,district, out .of ,;many similar ones in Montana, .shpAvs jthe . greatest iirogression, more stamps and arastras haAdng .been erected in thepast year • than in any' other- one place. SiNer-quartz mining has shown AAônderful,development in the past year. .Mining ..for this metaLh.asJi.een neglected in times^past'in .the great'eagerness for gold. "There ; is noAA^ a disiiosition-to give silver mining.ihe. attention it deserAês, and with good re sults. The silYer.pro.duct has.greatlyihciieasedthis year,JMugh the.grâtest.activity is confined to one camp, Butte; here maiwelonsly rich mines are located and produc ing great quantities of silver hullipn. ^•,Phillips]:?nrg.and Glendale^^,newer camps, are opening np finely, and the presence of rich prospects leads me to expect ere loiigJ_arge returns from these places. In Jefferson County UCAV leads of sihêr-orehaAê been "dis covered this fall, Avhich haAê- assayed very rich. The erection bf smelters in Butte, and Avickes in Jefferson County have utilized and brought-into demand-the-pooi-er and baser silver-o.res,..AA^hich have .heretofore had bnt little A-alue, if not quite worthless, OAAdng to thehigh^rat'esof ti\ansportation charged.to carry'tTi.em'to'.easter^^^ From inquiries, made and:'information gathered in Aârious Avays throughout-;this • Territory, I am ofthe opinion l}hat the yield of gold and silver of Montana fdr the year , ending June 80, -1879, was as-follows, viz : Gold |2,500,.000 . Sijlvpr .;...,.;.-^.„..',..^.,. .1 -^,22^,000 Total.... , 4,725,000

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DIRECTOK OP THE MINT. 241

The^e figures I deem as nearly correct as it is possible to ohtain them. The estimates of the probable yield of gold and silver in Montana in your last report for the fiscaP year ending June 30, 1879, I consider somewhat higher than the yield has since proven to he. The estimates for the coming ;^ear I would place as follows, Adz: Gold $3,000,000 to |3,225,000 Silver 3,000,000 to 3,500,000 The folio Aving is the statement ofthe production of gold and silver in - Montana hy counties as dejiosited in this office in 1879, during the last six months of the fiscal yeair.:

Couuty. Gold, Aveigbt. ^Value. Silver, Aveight. Value.

Ounces. Ounces. ]3eaver Heads . . ... 40.15 $22 59 Clioteau Gnster 1.38 25 82 Deer liOdiie 1,703.59 30,208 71 158, 291.10 $159,457 39 Gallatiu .. -260.08 4,713 92 Jefferson j..... 1, 071. 04 18, 702 37 1, 471. 00 1,198 29 liCWis and Clarke 5, 912. 76 92, 733 12 TVfflidi.qnu. 1, 007. 59 16, 309 45 Meagher 573.14 10, 245 55 Missoula. 43.32 858 10 Total 10, 613, 05 173, 819 63 159,762.10- 160. 655 68

It is thus shown hy the foregoing statement that every county hut Choteau in Mon tana iiroduces gold or silver, and quite recently I haA'-e assayed samples of silver ore from the Bear Paw Mountains in Choteau County which have all shoAvn more or less of this metal. On the Avhole, I consider the gold and sih-er mining interests on a secure and sub stantial hasis, and think that coming years will see many thousands of dollars added to the AA^oiid's wealth taken out of old mother earth in this young and thriAdng Terri tory. ^ '...... Very respectfully, R. B. HARRISON, Assayer in Charge. Plon. H. C. BURCHARD, Director of the Mint, Washington, D. C.

MINT OF THE UNITED STATES AT CARSON, Supeiintendent^s Office, Septembei' 3, 1879. SIR: I transmit herewith an official reiiort of the gross yield of the mines of this State dnring the fiscal year ended June 30,1879: During the year 1877-'78 the gross yield was .. |47,676,863 83 During the year 1878-'79...... " 19,305,473 97 ShOAAdng a decrease in production of ... 28, 371, 389 86 The present outlook, however, is thatthe product will he greatly increased dnring the current year. Very respectfully, JAMES CRAWFORD, Superintendent. Hon. H. C. BURCHARD, Director of the Mint. 16 F

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242 REPORT ON THE FINANCES.

Gross yield of the mines, State of Nevada, for the year ending June 30, 1879.

Quantity extracted. Mines. Gross value. Tons. Pounds.

ELKO COUNTY. Argenta 1,544 Bene Isle 430 Grrand Prize... 4,210 Hussey 183 Independence . 6,554 Leopard 2,414 750 Navajo ... i;009 1,000 Total. 16, 345. 725

ESMEKALDA COUNTY. Ahda 257 Black "Warrior -. 36 1,500 Central MiU 75 Crovming Glory. 194 " 'i,'459' EndpAvment 1,044 943 Indian Queen 931 720 ISrortbern BeUe. - 17,306 McMasters 204 777 Montezuma 286 966 Vanderbilt 1,026 165 "Wasson 2,451 1,900 "Wheeler 1,495 Wilson. - 1,970 Total. 27, 279

EUllEKA COUNTY. Altoona 13 980 Alexandria... .77 1,335 Atlas 67 250 Austin 7 598 Bald Eagle ... 102 395 Blackburn... 2 231 BullAvhacker . 84 1,174 Banner 203 657 Connelly 568 585 Cubnce 1 1,150 Cloud. 2 1,264 Eureka Consohdated . 8,150 Eldorado 89 671 Eldorado No. 2 13 647 Ebse . 21 1,724 Eourth of July 252 1, 617 . Foley 2 750 Garrison, 856 256 Geddes and Bertrand. -• -.. 31 1, 227 Grant : 73 167 General Lee - 2 1,370 Hoosac - 75 1,181 Hamburg *- - 1,536 1,665 Home Ticket 144 870 Hunt &Co 1 544 Inca. 2 12 Jackson 2,651 1,960 K. K. Consohdated 373 1,754 Kentuck • 8 1, 591 Lancaster 1 635 Lone Pine 1 921 Louisville 1 1,990 Metamoras '- 39 772 Mag-net 4 1,360 Maria - 1 187 Monroe 1 391 Mountain Queen 1 268 Mountain Boy 9 417 Morning Star - 3 1,214 Mtueral Hill Manufacturing Company. 563 Mortimer 18 840 Macon City - 44 930 Needle - 3 390 NcAvark 11 387 Oakland *6 1,125 P aui Pry 54 1,086- Pioneer .• 20 937

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DIRECTOR OF THE MINT. 243

G^'088 yield of the niines, State of Nevada, fm' the year ending June 30, 1879—Contmued.

Quantity extracted. Mines. Gross value. Tons. Pounds.

EUKEKA COUNTY—Continued. Plwjenix 692 . 240 $25, 111 63 Pinto 5 688 385 86 Hacine ...... 1 1,168 95 93 • 30, 788 1, 702 1 070 628 92 Kocky Point ,2 614 131 18 Silver King . 15 100 451 50 Silver "West - . - - ' 3 645 85 05' Silver Gate ... 18 1, 207 3, 067 74 Silver Conner 312 1, 980 15, 055 49 San Jose - - 12 693 692 12 Sterliug 1 251 76 80 SnowElake ... . 6 • 411 163 17 Silver Lick 108 1, 428 4, 534 18 2 870 M5 39 6 213 231 20 Valentine • - .. 22 1, 529 946 04 AVilliam 8 buro' 69 1,684 1, 597 ]3 AVinaU " • 3 1, 950 268 20 Wide "West - . - ...... 5 938 510 04 •Williams 198 1, 211 22,410 70 W^hite Pine 2 90S 328 85

Total 118, 501 805 4, 233, 000 23

HUMBOLDT COUNTY. 4,647 70.189 00 AriyoTia, tailinJTS 9,530 4],322 00 756 158 23, 557 52 Fair Pla V 110 3,101 50 . 854 1, 421 107,185 84 224 800 5, 955 00

TotixX 16,122 379 •251,310 86

LANDER COUNTY. Ar^euta "T 1 574 1, 228 57 1,756 667 26 16 992 3, 658 10 Bedford - 30 1, 778 1.5, 383 99 Cooper - • 2 626 554 18 102 1, 708 33,138 02 7 80 2, 325 08 GundrV &Co 23 1558 7, 010 66 11 212 3, 323 47 13 699 2, 293 17 Manhattan 4,048 1, 7.50 518, 667 25 5 1, 476 2, 748 94 McEarnalian 4 280 1,157 54 5 256 1, 541 78 McEee "- 18 1, 512 8, 222 43 TyTcCflnii - 7 1, 810 3, 923 38 1, 726 732 67 Patriot 12 1,728 4, 647 60 Silver "Wedce . . 4 1, 312 1,140 80 St>iiT*r Jir Crvnvf^' - - . - -. 3, 399 143, 370 77 "Ward Tliomas .' 128 1, 772 55,353 43 AV^allaiCft fTospuli 1 452 930 00 10 70 5, 382 02 12 660 4, 463 22

'Xotal 7, 867 1, 787 821, 864 33

LINCOLN .COUNTY. BoAvei-y - •- - 30 625 3, 390 55 • 150 1, 470 83 4 1, 779 477 21 T)a,v - 21 790 ' 655 50 27 707 576 75 8,393 796 298, 345 .84 Heniss -• - 15 1 462 3,197 24 29 1 1,237 5, 976 50 2, 322 ' • 1, 587 47,178 68 Meadow Valley tailings:. 14, 363 1,400 109, 674 23 Mazeppa " • 15' 1,190 627 80

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244 REPORT ON THE FINANCES.

Gross yield of ihe mines. State of Nevada, for ihe year ending June 30, 1879—Continued.

I Quantity extracted. I Mines. I Gross value. Tons, i Pounds. !

n>".,;'-'g^||a; LixVCOuN Cou^iTY-• Continued. Nevada and Arizona 122 434 I $8, 753 21 Newark •, - "i 908 142 76 Pioclie 7 • 750 79 Paymoiid & Ely 3,403 574 202, 868 92 Eaymond & Ely tailings. 17, 571 86,178 17 Techatticup 328 I 22, 931 42 127 1, 559 ; 15, 072 44 Unknown 16 i 104 27 Willott , ff" .Total. 46, 942 • 1, 871 '8,373 11

LYON COUNTY. Excelsior mill tailings. 1,735 4, 950 00 Lyon mill do.. . 49,860 212, 500 54 Pacific mill do... 5, 315 56, 570 32 Union miU t do... 46,800 ' 146, 942 45 ' Woodwortli. mill : do... 6, 090 I 90, 635 95 ^i:otal 109, SOO ' 511, 599 26

NYE COUNTY. Alexaiidiia 1,135 5.5,000 00 A.rgent •440 32, 608 00 Alexander 17••777 f 6, 500" 00 BekuoTi t 1, 075 51, 591 63 Dowuev 1, 000 35, 000 00 Eldorado 53 200 i 6. 000 00 Gila --.. 100 603 8, 573 64 Higlibiidge • 1,170 90, 928 65 .Illinois. .^ 881 400 65. 297 64 Tybo 9, 9B9 370 263. 453 03 Q. G. and Bunlcei.' Hill. 5, 490 134, 784 78

Total 21,461; 1, 540 I 749, 737 37

OKM.SBY COUNTY. BrimsAviclv mill .tailing 9, 974 :. 110, 350 54 Mexican mill i 9,800 . 42, 700 41 Mo.i'gan uiilll j 6, .180 •-. • 71.134 50 iiSlievada mill i 6,620 •- 20, 477 75 Pacific uiill I 12,411 i- 133,100 67 Bantiago mill : I 15,611 ;. 54, 717 61 tJiiiou. mill j 6.757 i: .! 26, 206 76 T( al. 67,353 , .-..I 464,688 24

6T0KEY COUNTY. Andes .• ' 720 • 12, 240 00 CalifoiTiia S9,285 .459,2.16 12 Cliollai- Potosi -^ 1,020 14,709 29 Consolidated Virginia 60.403 ' 1,300 !, 612, 990 22 Consolidated Imperial 9, 279 120, 812 30 Imperial 3,431 ; 40, 258 50 Justice 2,259 : 21, 791 92 Ophir - - -' *- 11,166 , 300 792, 516 53 Silyer HiU , 552 4, 509 92 Sierra Nevada 1,800 ' 110, 412 67 Trojan ' 4, 4.53 100 67, 578 75 Express loill .- tailings.. 1,105 9, 968 45 Bossell Bros, mill : do 757 8, 469 00 Mariixisa luill do 10, 316 127,191 14 Omega mill do — 44,788 • 422, 297 03

Total : ; 241, 335 • 400 ; ^, 824, 961 :

WHITE L'lNE COUNTY. Eberliardt & Auro 7, 072 1, 549 78, 815 62 "Eagle So Orescent 313 1,000 3, 024 72 .Exchan ue 400 16, 000 00 Eair-play 8 1, .577 36 Lookout 55 I 5,277 13" Mountain Queen .. 4 ' 1,000 ! 1, 082 00 Paymaster , 5. 395 ' 247, 499 42 '.^,ueeu 25 ' ' 1,188'' 3, 946 00 istar 4. 686 ' 1, .500 325, 957 17 Stafioi-d 39 106 3,184 44

Total. 18,001 686, 363 86

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DIRECTOR OF THE MINT. 245

Gross yield of the mines. State of Nevada, for the year ending June 30,1879—Continued.

PvECAPITULATION. .

Quantity extracted. Gross value. Tons. Pounds.

Elko 16, 345 725 $994, 882 78 Esmeralda 27,279 .. 430 958, 692 09 Eureka 118, 501 805 4, 233, 000 23- Humboldt 16,122 379 251, 310 86 Lander 7,867 1,787 821, 864 33 Lincoln . 46, 942 1,871 808,373 11 Lyon 109, 800 511, 599 26 :Nye 21,461 1,540 749, 737 37 Omisbv .. 67, 353 464, 688 24 Storey 241,335 400 8, 824, 961 84 White Pine 18, 001 218 686, 363 86 Grand total . - 691, OIO 255 19, 305, 473 97

STATE CONTROLLER'S OFFICE, Carson, Nev., August 28, 1879, I hereby certify that the foregoing is a full, true, and correct statement of the yield of the niines of the State of Nevada for the year commencing July 1, 1878, and end ing June 30, 1879, as compiled from the quarterly reports of several county auditors, . filed in this department. Witness iny hand and seal of of&ce this 28th day of August, 1879. [SEAL.] J. F. HALLOCK. State Controlle}', By WM. B. DAUGHERTY, Deputy,.

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