Geology. The mountain ranges are generally upheavals of a nucleus of granite and syenite which has broken through the Paleozoic sandstones and Carboniferous limestone, these strata being upturned and exposed along their bases and slopes. The eastern plains are almost wholly Cretaceous, and the same formation occurs in the northern part of the western plateau. Intrusions of eruptive rocks are found in profusion in many parts of the Territory; these range from ancient volcanic rocks and dikes of porphyry to more recent lava flows which cover considerable areas both on the plateaus and in the valleys.
Mining. This industry is but little developed in comparison with its great possibilities. The mineral region is almost co-extensive with the mountain region. Coal and gold are among the minerals most mined. The output of the former increased from 157,092 short tons in 1882 to 1,086,546 short tons in 1901. The output of the latter shows an increase from 26,074 fine ounces in 1898 to 33,302 in 1901. The output of silver and copper, which had decreased for a number of years, has grown extraordinarily, the output of the former in 1901 being 563,400 fine ounces, as against 425,300 in 1898, and that of the latter having increased from 31,884 pounds in 1894 to 9,629,884 in 1901. Emeralds, turquoise, and other precious stones are being mined in increasing quantities. Other minerals produced are lead, iron, gypsum, kaolin, and fire clays.
Forests. The wooded area is given as 23,700 square miles. The United States has reserved tracts amounting to 4299 square miles, mostly about the head of the Gila River. The merchantable timber is found only in the mountainous regions, and is mainly yellow pine and spruce.
Agriculture. Irrigation is practicable and in practice along the watercourses. However, the possibilities of irrigation in New Mexico are not as vast as in some other Western commonwealths, owing to the comparative lack of large rivers and lakes. The irrigated areas are scattered throughout the Territory and are not large in any particular region. The Rio Grande River supplies water for a greater area than any other stream. Owing to evaporation and the use of the water in irrigation, this stream becomes dry in the southern part of the Territory during the irrigation season. Much water is wasted by the primitive system of irrigation employed by the Indians and Mexicans. There is a considerable irrigated area on the San Juan River in the northwest. Irrigation has not been introduced until recently in the eastern plain region. In 1899 there were 975 irrigation ditches with an aggregate length of 2382 miles. Their construction cost $4,140,319. There were under ditch 646,784 acres, of which 203,893 acres were irrigated, and 182,804 acres were in crops. The total area included in farms (both agricultural and stock) in 1900 was 5,130,878 acres, more than six times as great as the corresponding area in 1890.
Alfalfa is the most important crop. Wheat, corn, and other cereals are grown in fair quantities. The Rio Grande Valley produces a superior quality of grapes. Most of the temperate zone fruits are grown. New Mexico can produce sugar beets of the highest grade. The following table of acreages explains itself:
| 1900 | 1890 | |
| Corn | 41,345 | 28,589 |
| Wheat | 37,907 | 21,853 |
| Oats | 15,848 | 9,314 |
| Beans | 3,349 | |
| Pease | 2,220 | |
| Hay and forage | 87,358 | 26,375 |
Stock-Raising. New Mexico claims the possession of a combination of favorable conditions—mild climate, etc.—unrivaled for purposes of sheep-raising. This industry, ever since the advent of the Spaniards, has been of first importance. The number of sheep decreased between 1880 and 1890, but increased enormously in the following decade. There has also been a marked gain in the number of cattle and of horses. The grazing region is chiefly in the eastern part, where there is an abundance of 'mesquite' and other varieties of native grasses. Very little grazing is afforded in the arid tablelands west of the Rio Grande Valley. The following table shows the leading stock holdings:
| 1900 | 1890 | |
| Dairy cows | 16,775 | 18,507 |
| Other cattle | 975,084 | 559,004 |
| Horses | 131,153 | 38,130 |
| Mules and asses | 21,213 | 8,367 |
| Sheep | 3,333,743 | 1,248,970 |
| Swine | 20,426 | 10,471 |
Manufactures. The manufacturing interests are small, but had a marked growth between 1890 and 1900. In 1890 there were 127 establishments with $965,938 capital, as against 420 with $2,698,786 capital in 1900. Railroad repair shops were the most important establishments. The large sheep-raising interests explain the introduction of wool-scouring establishments, of which four were erected during the decade.
Transportation. The Atchison, Topeka and Santa Fe Railroad traverses the Territory from north to south, following the course of the Rio Grande. The Santa Fe Pacific branch of the above railroad connects the Territory with the Pacific Coast. The Southern Pacific crosses the southern portion of the Territory, and the Pecos Valley and the El Paso and Northeastern railroads have recently been constructed through the eastern part. In 1900 the total number of miles was 1779. There are no navigable streams.
Banks. The first bank in the Territory was a national bank organized in 1871. In 1888 some banks were organized under the Territorial laws. The Territorial banking law provides for yearly reports and examinations. In 1902 there were 15 national banks, with a cajiital of $1,012,000; surplus, $171,000; cash, etc., $430,000; deposits, $5,033,000; and loans, $3,688,000; and 12 Territorial banks, with capital of $417,000; surplus, $52,000; cash, etc., $148,000; deposits, $1,783,000; and loans, $1,354,000.
Government. New Mexico has the usual Territorial form of government. See Territories.
Finances. A public debt of $200,000 was created in 1884 to construct the Capitol. Later more bonds were issued for the erection of a penitentiary and other public buildings. There was also a constant deficit due to high expenditures, and also to the difficulty of collecting taxes, of which about 25 per cent. usually remain unpaid. In 1889 a movement for financial reform gained headway, and the expenditures
