Yreka: “the richest square mile on earth.”

It was March, 1851 and gold had recently been discovered about 30 miles south of here on the Scott River.

A group of six men... while striking camp the next morning, Thompson observed something extraordinary. Because of heavy rains the ground was soaked, and the bunch grass, serving as breakfast for the pack mules, was being pulled out of the ground, exposing the roots. And on those roots, Thompson noticed, were flecks of gold. He and his men decided to stay.

Unbeknownst to Thompson, he had just spent the night on what would soon become known as “the richest square mile on earth.” As well, his accidental discovery set in motion the creation of a new town.

With so many gold-seekers already in California due to the ’49 gold rush, it wasn’t long before word got out, and within six weeks of Thompson’s discovery there were 2000 miners on Yreka flats. In those early days it was known simply as Thompson’s Dry Diggings, and was basically a huge camp full of transient gold miners. By August of that year, as the miners discovered that this area was the “second mother lode,” the population swelled to 5,000. At that time, the town, now called Shasta Butte City, moved to its present location, in order to be closer to the nearest water supply (Yreka Creek).

Slowly but surely, the new town was taking shape, and the first real structures were going up on Main Street (today’s Miner Street). In early 1852, with the population continuing to grow, the State Legislature created Siskiyou County. At that time, because there was another town called Shasta in the region, Shasta Butte City changed names again, this time choosing the local Indian word for Mt. Shasta—Yreka.

from "The Boomtown That Didn't Go Bust--A History of Early Yreka"

+++

 

Yreka Mine, 1860

Yreka Mine, 1860

 

Richard Barter, also known as Rattlesnake Dick ...[d]uring California’s Gold Rush days, [settled] in at Rattlesnake Bar, a small mining camp in Placer County..... 

However, Barter was unsuccessful in his quest for gold and soon decided to turn to a life of crime. ... In 1856, Barter learned from a drunken mining engineer that large gold shipments were being sent down Trinity Mountain from the Yreka and Klamath River Mines.

 

Barter sent George Skinner and three others to intercept the gold shipment, which was packed on mules. George and the other bandits stopped the mule train outside of Nevada City, California holding guns on the muleskinners. Meekly the men turned over $80,600 in gold bullion to Skinner and his men, without a shot being fired.

 

The bandits then made off with the shipment to keep a rendezvous at Folsom with Barter and Cy Skinner. However, George Skinner found it next to impossible to take the heavy gold shipment down the mountain passes without fresh mules. Soon, he split up the gold shipment burying half of it in the mountains.

 

Making their way to Auburn, the outlaws were soon intercepted by a Wells Fargo posse and gunfight ensued. In the melee, George Skinner was killed and his confederates fled. The lawmen recovered $40,600 of the stolen loot and though they searched diligently, they failed to find the remaining $40,000. ...

 

The treasure has never been recovered and is said to be somewhere on the slope of Trinity Mountain, said to have been buried about 12 miles south of the hold up point.

 

 

-- from Legends of America

 

+++

 

And now, on February 1, 2012, the LA Times reports:

 

Thieves in Yreka, Calif., made off with $3 million in gold nuggets Wednesday after breaking into the Siskiyou County Courthouse and smashing a glass case that contained a display on the area's mining history, officials said.

On its way to the sedate repository of the vaults below 33 Liberty Street, NY, NY -- or elsewhere... gold sometimes has an extremely colorful journey.

Vinaora Nivo SliderVinaora Nivo SliderVinaora Nivo SliderVinaora Nivo Slider

The Most Important Thing Holding Up the US Dollar

by Ron Paul

Today’s economic conditions reflect a fiat monetary system held together by many tricks and luck over the past 40 years. The world has been awash in paper money since removal of the last vestige of the gold standard by Richard Nixon when he buried the Bretton Woods agreement — the gold exchange standard — on August 15, 1971.

Since then we’ve been on a worldwide paper dollar standard. Quite possibly we are seeing the beginning of the end of that system. If so, tough times are ahead for the United States and the world economy.

Piketty’s Gold?

April 21, 2014

In terms of public policy, though, we favor honest money. It works out better for more people. And there is a moral dimension to the question of honest money. This was a matter that was understood — and keenly felt — by the Founders of America, who almost to a man (Benjamin Franklin, a printer of paper notes, was a holdout), cringed with humiliation at the thought of fiat paper money. They’d tried it in the revolution, and it had been the one embarrassment of the struggle. They eventually gave us a Constitution that they hoped would bar us from ever making the same mistake.

Read More

 


The Rueffian SynthesisJohn D. Mueller

Publisher's Note: Originally released in June/July of 1991, this detailed report discusses Jacques Rueff's economic theories and applies them to modern economic events.

By John D. Mueller

Rueff Restates the Quantity Theory of Money

... Rueff argued that the real problem with the monetarists is not that they focus too much, but rather too little on the supply of money; namely, they assign too little importance to the concrete mechanisms by which money is actually created. Most monetarists adopt the convention that the government can control the nominal supply of money, while demanders of money control its value. Rueff pointed out that under a properly functioning monetary system, even the nominal supply of money is determined by people’s demand for it.

Read More

Excerpts From:


by Lewis E. Lehrman

"The economist defines money as a medium of exchange. It is the token we supply in order to effect payments for the goods we demand. Money is especially a standard like a yardstick – a unit of measure by which we value and price economic goods. Money units express prices which are the vital information necessary for efficient exchange. Money is surely a store of value."

Learn More

 

Laksmi, The Goddess of Prosperity

Ralph J. Benko  |  Apr 24, 2014
Indian culture long has held a high appreciation for gold.  The Vedic faith records four historical ages, the highest being the Satya Yuga.  Per Wikipedia, "when humanity is governed by gods, and every manifestation or work is close to the purest ideal and humanity will allow intrinsic goodness to rule supreme.

So Long, So Slow: IMF Not So Optimistic on World Recovery

Kathleen Packard  |  Apr 23, 2014
“Here’s the short story: The U.S. has exited from financial crisis: Asia and Europe have not,” wrote Rana Foroohar in TIME at the beginning of this year. “China, the second largest economy in the world, is pretty much where the U.S. was five years ago – deeply in debt...Japan, where...
VIEW BLOGS
Apr 22, 2014
World Press
George Melloan

In Going Long, the Fed Is Short-Sighted

Stock and bond traders spent most of last year in a state of high anxiety over what would happen when...
VIEW WORLD NEWS
Feb 21, 2014
Key Monetary Writings
Steve Hanke

The Great Destabilizer

Dr. Karl Schiller, West Germany’s Economics Minister between 1966 and 1972, pithily pronounced that: “Stability is not everything, but without...
VIEW KEY MONETARY WRITINGS
 
Prosperity Through Gold
Please sign me up to receive free, noncommercial, news and analysis.
Name:
Email:
You can easily and safely unsubscribe anytime. Privacy Policy

Kathleen M. Packard, Publisher
Ralph J. Benko, Editor

The Gold Standard Now
Board of Advisors:


Senior Advisors

Sean Fieler, James Grant,
Steve Hanke, John D. Mueller,
Lawrence Parks, Judy Shelton,
Lawrence H. White

Senior European Advisor
Paul Fabra

Advisors
Jeffrey Bell, Ralph J. Benko,
Andresen Blom, Frank Cannon,
Rich Danker, Brian Domitrovic,
Charles Kadlec, Christopher K. Potter,
John Tamny and Frank Trotta

In Memoriam
Professor Jacques Rueff
(1896-1978)

Now Available on Amazon and from The Lehrman Institute

Gold Standard 3-Pack

Three Gold Standard Titles for One Low Price. Only from The Lehrman Institute Store.

Buy from
The Lehrman Institute

Breaking News