All of this is admittedly very rough, but there is logic in it and nothing that appears very much contrary to general knowledge of conditions and results. For example, when it be deduced that this figuring corresponds with an average gross return of about 3.85 c. per Ib. of copper, the average price for copper during this period having been 14.95 c. per pound, there will be no strong contradiction offered. Nor as to the deduction of 22 c. per ton average profit on coal.
These figures afford another interesting deduction. The total value of mineral products in 1918 was $5.192,000,000, whereof the net proceeds of $1,031,000,000 figure just 20 per cent. Only a little more than one-half of this was true net income according to the producers making income tax returns, the remainder being credited to depletion, i.e., the return of principal. In 1911-1913 the average annual mineral and metal production was $1,923,000,000 whereof the net proceeds were 17 or 18 per cent, according to whether $330,000,000 or $350,000,000 be assumed. Throughout this study the quarrying industry has been eliminated, consideration being confined to the mining and metallurgical.
It may be pointed out that net earnings would be calculated larger if deficits had not been deducted from net income as reported by the Bureau of Internal Revenue, and of course that would be true. The losses in some mining enterprises may have been of money made in some other industry. In my present examination of the mining and metallurgical industry as a whole, however, I consider it not only proper but also necessary to take into account both profits and losses, having in mind that many enterprises incurring losses may be
