Ruble

“ And, after all, the value of the money of the kingdom would be no greater than if there was only a tenth part of all this existing.”
“Why, to be sure, a ruble that was used yesterday does just as well to use again to-day as a 81new one; and my mouse-skin bought as many things just now as twenty mouse-skins once used, would have done. But some people lay by their ducats and rubles, as father used to do in Warsaw. If some lie idle in this way, must others go round faster, or will there be more money made?” ”

“ When the price falls very low, complaints arise that there is no place to send it, since, when the ruble stands high, as it invariably does at the prospect of large crops, the demand from abroad is stopped. ”

“ With money good to-day and not so good to-morrow, or vice versa, what a field for speculation presents itself! And fortunes are being made on the rise and fall of Imperials. With rubles ten for a dollar in Vladivostok, and seven for a dollar in Khabarovsk (for rubles are dearer sometimes in inland cities) , you have only to buy a gripful at the one place, hop a train and rake in a fortune at the other. ”

“ Now as notes to the amount of more than four hundred millions of rubles had been emitted for the last war, we should, if we retired fifty millions per annum, need eight or ten years to reestablish our currency. ”

“ You soon learn all sorts of devices by which you return to circulation your bad money. You contrive to pay off drosky-drivers hastily, and in dark streets. For the first time in your life you delight in tipping the hat-bandits at the doors of restaurants. By the time these rascals have discovered your iniquity, you have disappeared into the frozen night. Gamblers palm off their faulty currency in the excitement of the game, there being no time to submit the pot to cross examination. But beware, oh stranger, the too-obliging person who would turn your American money into rubles! ”

“ We've made you think you're dollar-worshipers, but while the dollars are dropping through your fingers, John, we're hanging on to the francs, and marks, and shillings, and rubles and gulden and pesos and kronen with a grasp that death itself often fails to break. ”

“ When He gives something, one has it!"
"But He doesn't throw things down from heaven?"
"He does so! Can I tell how I live? Let us reckon: I need a lot of money, at least four rubles a week. The house yields, beside my own lodging, twelve rubles a year—nine go in taxes, five in repairs, leaves a hole in the pocket of two rubles a year! ”

“ There is no need for a large stock of gold and rubles, but what is mostly wanted is a greater number of men who might be sent all over the country, men with good business heads and a polite manner, and, above all, men well suited to the present requirements of the country. ”

“ Hence the Government issues them enormous quantities of paper rubles adorned with bright revolutionary mottoes, and gets in exchange large quantities of grain, cattle, and other commodities vitally needed by the army, the city dwellers, etc. The essence of the exchange is that the Government puts in a little printed matter and takes out great masses of substantial products. ”

“ So that to begin with you make a very profitable bargain. Then you go abroad with your wares and there, as soon as the exchange value of gold goes up, you can sell it at the nearest bank. I know, for instance, that the agent of the —— Bank" (and he mentioned a name well known in St. Petersburg) "made many a pretty penny for himself by just such a deal. This is how it was: He bought gold dust for forty thousand rubles, and six weeks later got rid of it in Hamburg for sixty thousand. Whatever you may say, fifty per cent on your capital in a month and a half is pretty good business." ”

“ But a man who is in need of ten rubles to buy bread for his family, or whose last sheep has been seized for a tax-debt of seven rubles, and who cannot raise those rubles by hard labor, cannot grow accustomed to this. We think that all this appears natural to poor people there are even some ingenuous persons who say in all seriousness, that the poor are very grateful to us for supporting them by this luxury. ”

“ "I have hundreds of rubles I don't know what to do with, and she stands in her tattered cloak looking timidly at me," he thought. "And what does she want the money for? As if that money could add a hair's breadth to her happiness or peaceof mind. Can anything in the world make her or me less a prey to evil and death? ”

“ The currency is all silver, with the exception of bank notes to the value of about one dollar, and the expenses of life are nearly double those of Denmark, as all the luxuries of life come from abroad. The currency of Sweden, on the contrary, is almost all government paper, and the rag currency reminds me of our shin-plaster days. A paper rix-dollar is about twenty-five cents, and they have notes as low in value as eight cents of our money; the consequence is, that in getting a piece of coin changed of the value of an American dollar, you have a pocketful of rags in exchange. ”

“ Pierre is a profitable pursuit provided one's wallet is filled with American coin or bank-notes. Though articles are priced in francs and centimes, the currency of the United States, Canada, Newfoundland, England and Switzerland is accepted, and change is made in any one or all of these. Strangely, very little French money is in circulation, and a bonus of two per cent, is demanded on French gold wherewith to pay customs fees. An American dollar, silver or paper, is worth 108 sous. ”

“ We place gold, and all such substances, on the side of documents, as far as they operate by signature;—on the side of store as far as they operate by value. Then the currency represents the quantity of debt in the country, and the store the quantity of its possession. The ownership of all the property is divided between the holders of currency and holders of store, and whatever the claiming value of the currency is at any moment, that value is to be deducted from the riches of the store-holders. ”

“ In Italy the lira is equal to the French franc. If the English Government, without giving up the shilling, were to coin a silver ten pence piece, and the Germans followed suit, and if the Dutch and the Austrians would coin a half guilden and a half florin respectively, something like an international silver coin could be had in the 10 pence piece, equal to a franc, equal to a half guilden, equal to the proposed German coin, and equal to the lira! However Governments are not yet of the same mind as the perplexed tourist rapidly travelling through one half of Europe in six weeks! ”

“ In fact, until the establishment of constitutional government the French people had to depend on popular violence to procure any temporary reform in their currency. Since the Revolution the course of development has been essentially orderly and regular. All through the time of the ancien régime silver was the principal money and the standard, as the use of the word “argent” as a synonym for money shows. Just as England got a gold currency by overvaluing gold, so did France get a silver one by overvaluing silver. ”

“ To return to the question of limit points: if a universal currency system existed, with the same monetary standard that is used in England, and the coinage kept in a proper condition of weight and fineness, and the coin readily supplied to meet every reasonable claim—if, in fact, the pound sterling were the prevalent coin and the English banking system obtained everywhere, then we should find all exchange quotations as simple as our case of London and Edinburgh, that is to say, all exchanges would be quoted at par or a premium or a discount. ”

“ We have had to learn a new money system in Germany. France, Italy, Switzerland and Belgium have what is called a “Latin league,” with interchangeable currency, the unit being the franc (France, Switzerland, and Belgium) , and the lire (Italy) . But Germany joins no Latin leagues. The unit of the German currency is the “mark,” equivalent to twenty-five cents American. This is divided into one hundred pfennigs. Prices are carried out to the pfennig, and one-pfennig coins (in value one-fourth of one cent) are seen more than our one-cent pieces at home. ”

“ When the gold or silver has all gone from circulation, and an equal quantity of paper has taken its place, suppose that a still further issue is superadded. The same series of phenomena recommences: prices rise, among the rest the prices of gold and silver articles, and it becomes an object as before to procure coin in order to convert it into bullion. There is no longer any coin in circulation; but if the paper currency is convertible, coin may still be obtained from the issuers, in exchange for notes. ”

“ A national currency thus based would have not only all the gold of the country as a basis, but also all other kinds of wealth. Is it not perfectly plain that such a money would be just so much better than common bank notes, with a one-third gold basis, as the total amount of the wealth of the country is greater than such amount of gold? It would be in the most complete sense the people’s money. ”

“ Just as the exchange value of commodities is crystallized by their process of exchange into gold money, so is gold money sublimated in its currency into its own symbol first in the form of worn coin, then in the form of subsidiary metal currency, and finally in the form of a worthless token, paper, mere sign of value. ”

“ The object should be to restore stability to the rupee, and to re-establish the automatic working of the currency system at as early a date as practicable.
“ (ii) The stable relation to be established should be with gold and not with sterling.
“ (iii) The gold equivalent of the rupee should be sufficiently high to give assurance, so far as is practicable, that the rupee, while retaining its present weight and fineness, will remain a token coin, or in other words, that the bullion value of the silver it contains will not exceed its exchange value. ”

“ When for a sum of money paid in England, containing, according to the standard of the English mint, a certain number of ounces of pure silver, you receive a bill for a sum of money to be paid in France, containing, according to the standard of the French mint, an equal number of ounces of pure silver, exchange is said to be at par between England and France. When you pay more, you are supposed to given premium, and exchange is said to be against England, and in favour of France. ”

“ If this reasoning is plainly unanswerable, when we are thinking of a measure or rule, for the amount of a currency, we must turn our thoughts to the income of a country in its most extended sense,—and as we must admit that currency ought to be augmented proportionably with income, whatever be the amount of debts and taxes and levies, we must also admit that a greater currency is necessary now than in 1809 or 1810, or in any other year, if our income on the whole is greater. ”

“ If the currency system of England had been of silver alone, a single enactment lessening the content of the unit coin, or crying up its denomination, would have stopped any outflow caused by under-valuation as compared with foreign money value. ”

“ More generally, what determines the value of the currency?
28. If gold were to become as plentiful as iron, would it be worth more or less than iron?
29. A nation having no foreign trade had originally in circulation 1,000,000 coins, each called a florin, and each containing an ounce of pure metal. To this original coin circulation the government adds 500,000 florins each containing one-half ounce of pure metal, and at the same time the government adds to the circulation 600,000 florins in the shape of inconvertible paper. ”

“ All our silver and paper currency must be maintained at parity with gold, and we favor all measures designed to maintain inviolable the obligations of the United States and all our money, whether coin or paper, at the present standard, the standard of the most enlightened nations of the earth. ”

“ It was a period in which the commercial expanse outstripped the reinforcing supply of the precious metals, and therefore in which a real decline of prices [8] prevails.
2. The evil effects of such decline were enormously increased by shortsighted, crafty manipulation of the currency by the European rulers, and by the rough, unscientific system of the prevailing coinage and exchange rates, and by the inability of the age to [Pg 60] understand, or even to perceive, the hidden working of two metals see-sawing against each other—acting as levers against each other—cutting each other's throats. ”

“ It is obviously an essential part of any such scheme, if it is to have the effect of fixing the exchange value of the rupee, that the power of obtaining that coin in future shall be regulated in some manner by a gold payment, and that the relation between sterling and rupee currency shall thus be fixed irrespective of the fluctuations in the relative value of the metals of which the coins are formed. ”

“ If the gold currency were represented by bills of different denominations, e. g. five pound, one pound and ten shilling bills, then the quantity of these different tokens of value would be determined not only by the quantity of gold necessary for circulation as a whole, but also by that required in the sphere of circulation of each kind of bills. ”

“ Here we had the first specimen of a currency which is very odd, and puts strangers off their guard. We had left thalers, which are three shillings, and Bavarian florins, which are two francs, for Austrian florins, which value two shillings. We were surprised to receive our bill for our dinner, at Töplitz, nearly thirteen florins. We expostulated, and it was explained: Murray also gave us the key to this mystery—all pecuniary transactions are carried on in a nominal currency, called schein, two and a half in name larger than the müntz, which is the real currency. ”