twice repeated, and probably a number of such settlements were made of which no knowledge has reached us; so that while the Great Kaan grew rich, the people grew poorer and poorer.
Then under the Ming dynasty the Government found still another method of more efficiently turning the system to the advantage of the ruler; for the Government paid in paper, but took only its dues in the precious metals; and he who would not obey its behests was put to death. The paper money depreciated to almost nothing; and the whole “progressive” system finally broke down. As Marco Polo would say, “You know the reason why.”
In 1294 a Persian monarch initiated a similar system, which produced severe distress, greatly impoverishing the people, and he was murdered in a popular revulsion.
I need not go through the whole history of paper money in Asia to show that the progressive idea of superseding the precious metals with paper money, and especially with an irredeemable paper money, was discovered and tried there; and that the progressive gentlemen who reiterate the same idea as a new discovery are just as progressive as the Chinese were over a thousand years ago.
But, sir, the same progressive idea which was tried and exploded there was discovered by the great Scotch financier, Law. Once more, at the beginning of the eighteenth century, with the same success Law carried it to the full extent of its progressiveness, and had to flee for his life after the bubble had collapsed. Tried and exploded again!
Then we had the French assignats. The country was made immensely rich; there were pieces of paper money enough to cover all the land, and to wrap up all the articles bought and sold. Then the collapse came; and at present you find them as wall-paper covering the cottages of French peasants, to serve as warning examples. Tried and exploded once more!
