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Page: of 6

3 #—Nevada City Nugget, Thursday, March: 24, 1949
Paper Is
%On Jan. 20 of this year there appeared in the pages
ef the ““Commercia! and Financial Chronicle”’ an article
entitled “The Question of a Free Gold Market” by Dr.
Walter Spahr, executive vice-president of the econogmists) national committee
swpahr thas taken the gold,
gmining industry to task for
a) asking for an “‘increase
“Sm ike price of gold,”’ <b) asking
“Wor the establishment of a free
spold market and (c) asking for
ta subsidy for the gold mining
simdustry. He goes farther when
‘Aihe says:
**“Their
‘Bs. creating a
wapidly becoming a
swoid mine interests
‘people ‘of the United
@Quotes are Dr. Spahr’s.)
agitation, consequently
situation which is
case of the
versus’ the
States.”
‘Before continuing further 1
‘would like to make the record
. telear. The gold miners. do advo«eate “am increased price for
woki”™ and they do advocate a
free market, but they do not advwocate subsidies. They do not
Meheve in subsidies.
‘The statement that
tion «of the gold miners is
~veloping into a case of the
“miners against the people of
’Inited States is pure balderdash.
Wn the first place these discussions are between
prefess to know
“he matter and for the most part
represent opinions on
‘what has appeared to be a hight¥y .controversial subject, In the
Second place, the gold miners
are willing to concede a _ voice
Se anyone who has anything to
memtribute to such discussions,
ft they will fight for their right
& Go the same. In the third
@iace, Dr. Spahr’s arguments will
mwot stand up under searching
samalysis.
"The tenor of Dr. Spahr’s
Yiele leaves one with the impresgfion that he believes statements
®y the gold miners will lead to a
the. agitadegold
the
people
personal
ar@reat deal of confused thinking
mabout the relationship between
Whe value of gold and our paper
money and that gold miners will
mse some sinister power to in#imence people to “raise the price
@f gold.’
First of all, the gold mining
imdustry has no more power to
“imcrease the price of gold’’ than
they do the price of chickpeas
amd perhaps even less. The forces
‘which determine these variations
%m price are much stronger than
they. In ‘fact, Dr. Spahr makes
@his quite clear himself and I
«ynote from his article.
“Whenever the fixed tink beYeween paper money and gold is
Wroken regardless of whether the
Bink rests upon a direct or in@irect process of redeemability
@he value of the _ irredeemable
Waper in terms of gold will de«Hime and the price of gold in
@erms of paper will rise. This is
simply because PAPER IS PAWER and GOLD IS GOLD (the
wapitals are mine). Under such
eeonditions, the paper money price
@f gold will be determined by
ttre “forces of supply and demand
siffetting both gold and paper.’’
il ‘bélieve the above is a stateBrent ‘with which gold miners
samd economists would be in full
mzpreement.
Wdiue .of Currency Changes,
: Wot Gold
‘Dr. Spahr advocates the re@emption of paper money by
wold, ome ounce of gold for $35.
We is opposed to a “price in@rease”’ and he is opposed to a
Wree market. We, the gold miners,
Welieve that some of the most
«onfused thinking is being done
. Uy Dr. Spahr and others who ad‘Wocate such a policy, and I will
explain why. These gentlemen
start with the wrong premise and
“that. ts that the price of gold
“eam ‘be raised or lowered. Gold
iis a standard against which curiwencies are measured. Actually,
“e@urrencies increase or decrease in
walue, the value of gold does nto
@hange. When Dr. Spahr talks
@f increasing .the price of gold
fre srecognizes not that the gold
iSs worth more, but that the curwency is worth less. He says and
wightfully, that when a currency
is «cut loose from gold it drifts
‘Motiower and lower levels of value,
And Gold Is Gold
. By NEIL O'DONNELL
‘Executive Vice-President, Idaho Maryland Mines Corporation
who .
something of .
Paper
Dr. on monetary policy.
This has been the experience of
centuries.
If one cannot measure the value of curreney against gold then
how can it be measured? The
only measurement left is by the
amount of goods it will buy. Today’s dollar will buy about onehalf of what it would in 1939,
so the net result of cutting our
dollar free from gold has been
to decrease its purchasing power.
How and why has the purchasing
power of the dollar been decreased? In part by the increasing of wages and in part by the
high increase in taxes, both of
which are reflected in the selling
price of every type of goods: and
Wages were increased
political program
and taxes were increased partly
because of the war, partly § be. cause of a political program ‘and
partly because of changing world
. conditions. The paper dollar has
ino valne in itself, its sole value
. is in what it will buy, and today
services.
as part of a
. it will buy only 50 cents. (in
gold) worth of goods.’ Dr. Spahr
proposed to sell everyone who
brings in a paper dollar 1-35th of
}an ounce of gold when the paper
j dollar will only buy 1-70th of an
ounce of gold worth of
; If any fraud has been proposed
by. anyone this is it.
this type
goods.
Fursuing of thinkbe determined: for the dollars as
against gold: the industry is reestablished where normal . trade
will determine the price at which
the miner will give his ounce of
gold, whether that price be in
pounds, pesos or dollars. They
believe that this market should
be a free market, established in
the United States where not only
the miner could trade his product
for currencies, but where currencies could be traded for currencies or for gold.
The gold miner, besides being
a practical man, is also a patient
man. He has seen the government arbitrarily close his mines
on short notice with no provision
made for paying
his plants, or taxes, or paying for
keeping water pumped from his
mines, not for days or Weeks, but
for nearly three years under the
infamous Limitation Order L-208.
He has read in the testimony
presented before a House committee in which Mr. Milo Pers
kins wrote Mr. Donald Nelson
on Dec. 19, 1944, in part as follows: :
“It is essential that -a
reduction in gold mining should
be envisaged for the postwar
period.’”’
Can you imagine that!
Now he has just about reached
the conclusion that he will not
be pushed around anymore by
misguided theorists. He is going
to have his say whether it is
found palatable or not and he is
going to stick as close to the facts
as he can. He will serve his own
and his country’s interests best
by seeing that the thinking about
gold becomes less confused rather
than the reverse.
WARDEN HISCOX ASKS
DOG OWNERS’ HELP IN
PROTECTING WILD LIFE
dog owners of A warning to
its ultimate» conclusion
as one must with every new
. program, what do we have? We
\-find ourselves establishing a new
price in gold for our goods twice
jas high at is was in 1939. Every
exporter of automobiles, of. industrial machinery, and of manufactured goods will find himself
losing markets perhaps forever
under a program of making the
the dollar redeemable with our
present wage and tax rates.
ing to
The gold miners are practical
men and they would not attempt
the impossbile. In this case, making the dollar redeemable in gold
is attempting the impossible. As
I have noted, such a procedure
will double the cost in gold of
our salable goods in the world’s
markets, and as such is undesirable. We can keep our goods
at the same gold price as we had
in 1939 and make the dollar redeemable in .gold at $35 per
ounce, but in order to do so we
would have to go back to 1939
wage and tax rates.
In fact, the taxes for purely
governmental purposes would
have to be lower than 1939 because Wwe have assumed new
burdens which would have to be
paid out of the same gross tax
as was assessed in 1939. One of
these is the cost of taking care
of wounded and sick veterans of
World War II, amounting to $5
billion per year or more; another
is the interest on the debt increase amounting fo another $5
billion per year. There are others.
No practical person would attempt to get wages and taxes
back to 1989 levels. Therefore,
the logical procedure is to recognize the new relationship of purchasing power of a dollar with
gold. In various parts of the
world various ideas pertain as
to that relationship. In China,
they say a dollar will buy the
same amount of as 1-100th of an
ounce of gold.’In other places the
ideas vary, but nowhere can you
find anyone who believes that he
should deliver as many goods for
a dollar as he does for 1-35th of
an ounce of gold:
The gold miners. only ask that
the present existing relationship
be recognized. This applies not
only to the dollar, but to all
currencies.. When one reads of
nations resorting to barter because they cannot reach agreement on the relative values of
their respective currencies one
wonders if mankind is really as
intelligent as it is purported
to be.
A Free Gold Market Desirable
In order that the proper value
+ . at a time when it is
Ll
F sour most essential service:
fa to Holmes Funeral Home
a-staff trained
\
a : easily afford.
J. PAUL BERGEMANN, Owner
Telephone 203
24-HOUR AMBULANCE SERVICE
246 Sacramento St.
: often impossible for the family
‘ a to coordinate their thoughts, is §
“S under the personal direction of @
. to our traditional way of helpful attention
at costs any family can
very
Turn —
a ae
Nevada City
been issued by
state fish and
warden, who said hundreds of
deer are b#ing killed in. nearby
regions by bands of roving dogs.
this area has
Ear] Hiscox, game
The deer, thin and weakened
bythe long cold winter that has
covered the foraging areas with
deep snows, have fallen prey to
dogs.
Hiscox pointed out deer will
be fawning in. May, adding the
animals will lose their favtns if
dogs are allowed to molest them.
The effect on the future of the
deer population in the area is
serious, the game
phasized.
Areas where deer have been
found dead following attacks by
dogs, include: Blue Tent, Columbia Hill, Lava Cap Mine Ridge
and Montezuma Hill, as well as
areas in the foothill region.
Hiscox reminds dog Owners of
the California game code which
makes it unlawful to allow dogs
to track or trail deer during closed
season. Violators of this section
(No. 1287) may be fined $25 or
$500 or be sentenced to. six
months in jail.
The veteran game warden asks
cooperation of dog owners and
sportsmen to help protect deer
now recovering from one of the
most serious winters in recent
history.
Always look out for the sunlight the Lord sends into your
days. —Hope Campbell
DR. WALTER MULLIS
DENTIST
435 ZION ST. PHONE 564-.
NEVADA CITY
NO STRAIN: NO WORK
NO MUSS
When We Do the
Laundry
It’s so easy—so simple, to
open the packages and put
away the. sparkling clean
clothes! Laundry done our way
is washed clean, ironed to
perfection and folded with
precision. Save all washing
bother — :
*
GRASS VALLEY
LAUNDRY
and
DRY CLEANERS
111 BENNETT STREET
insurance on,
warden em.
. PHONE 108
‘PROPERTY TAX questing that a free market be:
15 PER CENT
ABOVE 1947-48
Property taxes throughout Nevada ,county this year are 15 per
cent higher than they were last
year, ‘California Taxpayers, association reported.
total $934,200, while the levy for
1947-48 was $811,179.
Property levy for the county
itself this year totals $431,973, up
14 per cent over: the $377,373
levy for 1947-48.
Property taxes for the cities in
the county for 1948-49 amount
to $67,934, which is 26 per cent
higher than the $53,991 levied
for 1947-48. This figure does not
include city sales taxes or busi-~
ness licenses and fees which cities
levy. :
School district demands for
property taxes in the county
this year reached $426,008—an
increase of 18 per cent. over the
$359,525 levy for 1947-48.
Levies for special districts in
the county for 1948-49 total $8,285, 59 per cent less than the
$20,290 levy for 1947-48.
Over the. state
property taxes for
$671,353,026, 21 per
than the $555,578,654
1947-48, the association
"Property tayes for county purposes—statewide—reached $254,906,422 for 1948-49, up 21 per cent
as a whole,
1948-49 total
cent more
levied for
found.
from the -$210,944,016 levied for
1947-48.
City levies on property this
year amount to $114,633,353, an
increase Of 11 per cent over the
$103,692,204 levied for 1947-48.
School district levies on local
property total $257,776,180 for
1948-49, up 27 per cent from the
$202,603,395 levied for 1947-48.
Property taxes for special districts for 1948-49 amount to $44,037,071,\ an increase of 15. per
cent over the $38,339,039 levied
for 1947-48.
“There is scarcely a unit of
government in California which
could not do some economizing,’’
the taxpayers’ association § said,
Taxes levied by the county,'}
cities, schools, and special districts in the county for 1948-49
ACHIEVEMENT AWARDS
PRESENTED TO CUB
SCOUTS AT DINNER
A +potluck dinner was held hb’
Cub Pack No. 23 at Seamnn’s
lodge with achievement awards
being presented by Cub Master
Onda’ Smith.
Bobcat awards were given to
Charles Eden and Bill Mullis;
Bear awards to Ronny Williams
and Jimmy Kendrick; Wolf
awards to Kenny Maloney, Melvin Schuldt, Eugene. Foote, Bobby Wicks and Allan Ellis.
Gold arrows were presented to
Bruce Hesla, Jimmy Kendrick,
Ronny Williams, and Eugene
Foote. Receiving silver arrows
for extra achievements were
Bruce Hesla with three; Ted
Ness, six; Bobby Wicks, _ six;
Feter Hill, two; Bob Goss, two;
Larry Hornberger, one; Allan Ellis, one; Jimmy Kendrick, two;
Ronny Williams, one; and Eugene Foote, one.
Bob Wicks and Bob Smith received Denner’s stripes,.Assistant Denner’s stripes were awarded to Bob Smith and Bob Fisher.
Elected by their dens to serve
as keeper of buckskins were Eugene Foote, Kenneth. Maloney,
Larry Hornberger, and Harold
Hummelt. Allan Ellis was elected
sergeant at arms of Den No. 1.
Den 3, with 87 achievements,
won the achievement ribbon for
February, and Den 5 won with
.98 achievements for March.
‘Dens 2 and 5 tied for uniform
inspection honors.
Parent attendance was won by
Den 4. Table decorations for the
dinner was the handicraft assignment for February, \Den 4
won the ribbon for this “work.
Handicraft for March was soap
carving. Original objects ‘were
judged, with Den 5 taking. the
final honors. Fred Relaford received a special award for his
exceptional work in ‘carving a
pipe organ and bench. The best
skit of the evening was turned
in by Den 4.
pointing out that:
HOLMES FUNERAL
HOME
The Holmes Funeral Home serv{ce is priced within the means 0’
ell. Ambulance service at al!
nours.
Phone 203
246 Sacramento St. Nevada ('tv
March 27 Is Deadline
For Vote Registration
March 27 is the deadline for
registration for voting in the
school’ district trustee election
May { 20, according to County
Clerk Ralph E. Deeble.
Registration applies to the
following:
1. Those who have moved out
of a. voting precinct since the
November general election.
2. Those who were cancelled
for their failure to vote in ene
of the last two elections.
3. New voters in the district.
Cheerfulness is a _ friend to
grace; it puts the heart in tune
to praise God, and so honors religion by proclaiming to the world
that we serve a good master.
Thomas Watson
The mind that is cheerful at
present will have no_ solicitude
for the future, and will meet the
bitter occurrences of life with a
smile. —Horace
NEVADA CITY—ON THE
THRESHOLD TO THE BEST
IN SPORTS RECREATION
®
NEVADA CITY
CHAMBER OF COMMERCE
Se
Holmes Funeral Home
Installs New Organ
Remodeling of the chapel
the Holmes Funeral Home has
been completed, with the addition of an electric organ, ac~cording to Paul Bergemann,
owner.
Installation and final adjustments on the mellow-toned organ
completed Thursday by
Sherman-Clay of San Francisco.
Other improvements~ at the
chapel include: painting, newlytextured walls, lowering of the
ceiling, and installation of new
rest rooms.
at
were
SEWING MACHINE
RENTALS -REPAIRS
Buttons and Belts
covered, Hemsticthing,
Buttonholes
TAYLOR’S
233! Mill St. Phone 276-M
Grass Valley
—
Telephone
Grass Valley 1050
GLENBROOK
BUILDERS & CONSUMERS LUMBER COMPANY
——4J
OUR
BUILDING SUPPLIES
ARE TOPS IN
QUALITY & PRICE
e * &
Call us for a free estimate
today.
S
SPRING
HAS ARRIVED
AT THE
PHONE GRASS VALLEY 1087 oe
FURNITURE COMPANY
Public Market Bldg. So. Auburn Rd.
Grass Valley Furniture Co.
Spring Opening
New Styles New Models
Prizes Daily During Our Spring Opening!
GRASS VALLEY