tion. As in all other belligerent countries, an appeal was made for the return of gold coin to the banks in exchange for paper money. In this country, as well as in France and in Germany, such appeals brought in many millions of gold money back to the State Banks. But in Russia gold coins were hoarded and all appeals for their return were useless. There was not even any attempt to conceal the hoarding.[1]
But it was not only gold which disappeared. At the beginning of the retreat of the Russian Army from the Carpathians even silver money vanished from circulation. This led to veritable panic among the poor, and they too began to hoard money. But they had to be satisfied with copper. Thus the rapacious instincts of the rich, who stole the country's gold and silver from the people, led to a revenge by the poor, who proceeded to hoard the copper.[2]
However, that was not yet the end. The propertied classes continued to hoard money, and when gold and silver was in safety they began to withdraw paper money—the more valuable notes of 1,000, 500 and 100
- ↑ Mr. Stephen Graham writes: "There is reason to believe that there are a number of millions of gold coins being hoarded in the country. Friends have shown me their private supplies." (The italics are mine) "Russia in 1916," page 101. Holy Russia at that time obviously disregarded any considerations of national interests. The appeal to "higher national interest" was only put forward by them and their friends in this country when the Bolshevik State made an attempt to confiscate their "private supplies."
- ↑ Mr. Stephen Graham in the same book has some very interesting reflections. "Thorough Government action swiftly followed and paper tokens for all the small coins were intro-duced." … "Thoughtful people welcomed it (the paper money for 1, 2, 3, and 5 kopecks) as teaching the ignorant that money has no value in itself, but only as a token of exchange." . . . . "Perhaps, however, the war and the substitution of paper for coin has taught some people to care less for money." … These philosophical reflections, as usual, are wound up by a compliment to the Russian soul. "The Russian word (for money) is 'dengi,' which is really a Tartar word." (The italics are mine.) "Russia in 1916," pages 103, 104.
