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The Truth About Imperial Russia
By Stephen Goodson
8-8-12


In early 1815, Nathan Rothschild approached Czar Alexander I (1801-25) at the Congress of Vienna with a proposal that he set up a central bank in Russia. Whether it was because he distrusted this shady banker or was aware of the perils of central banking is not known, but he prudently declined.

In 1860 The State Bank of the Russian Empire was founded with the aim of boosting trade turnovers and the strengthening of the monetary system. Up to 1894 it was an auxiliary institution under the direct control of the Ministry of Finance. In that year it was transformed into being the banker of the bankers and operated as an instrument of the government’s economic policy. It minted and printed the nation’s coins and notes, regulated the money supply and through commercial banks provided industry and commerce with very low interest rate loans. Its vast gold reserves, the largest in the world, except for the year 1906 exceeded the bank note issue by more than 100%.

Not unexpectedly Russia had the smallest national debt in the world. The following table reflects the number of rubles per inhabitant in 1908.

France
288.0
Great Britain
169.8
Germany
135.6
Russia
58.7

By 1914 83% of the interest and amortization of the national debt was funded by the profits of the Russian State Railways. In 1916 the total length of the main lines was 100 817 verst or kilometers.

In 1861 Czar Alexander II (1855-81) abolished serfdom, which at that time affected 30% of the population. By 1914 80% of the arable land was in the hands of the peasants. The Peasants’ State Bank, described at that time as the “greatest and most socially beneficent institution of land credit in the world” granted loans at a very low rate of interest, which was in effect a handling charge. Between 1901 and 1912 these loans increased from 222 million rubles to 1.168 billion rubles.

Agricultural production soared so that by 1913, Russia had become the world’s bread basket as the following table reveals.


World production
Russian production
%
Barley
1 771.4
750.04
42.3
Oats
3 324.6
1 087.0
30.3
Rye
2 378.0
1 593.0
67.0
Wheat
4 971.4
1 554.8
31.2


Russian agricultural production of cereals exceeded the combined production of Argentina, Canada and the United States by 25%.

Mining and industrial output also expanded by huge margins. Between 1870 and 1914 industrial output grew by 1% per annum in Great Britain, 2.75% per annum in the United States and 3.5% per annum in Russia. During the period 1890 to 1913 industrial production quadrupled and Russian industries were able to satisfy 80% of internal demand for manufactured goods ­ a perfect example of autarky.

With the Russian State bank creating the people’s money out of nothing at almost zero interest; as opposed to the rest of the world where central banks allowed parasitic private banks to create their nations’ money supply at usurious rates of interest, it comes as no surprise that in 1912 Russia had the lowest levels of taxation in the world. Furthermore there was hardly any inflation.

State Taxes
Local Taxes
%
Great Britain
10.01
16.74
26.75
Germany
5.45
7.52
12.97
France
5.12
5.07
10.19
Russia
1.28
1.38
2.66


An independent study by British lawyers concluded that the Russian Code of Laws and judiciary were “the most advanced and impartial in the world.” Elementary education was obligatory and free right up to university level.

In labor relations the Russians were pioneers. Child labor was abolished over 100 years before it was abolished in Great Britain in 1867. Strikes, which were forbidden in the Soviet Union, were minimal in Czarist times. Labor laws were so advanced and humane that President William Taft was moved to say that “the Emperor of Russia has passed workers’ legislation which was nearer to perfection than that of any democratic country.” The Czar and his state bank had created a workers’ paradise that was unrivalled in the history of mankind.

On November 7, 1917, the Rothschilds, fearful that replication of this extraordinary example of freedom and prosperity would destroy their evil banking empire, instigated a Judeo-Bolshevik revolution in Russia, which wrecked and ruined a wonderful country and resulted in the deaths by murder and starvation, according to Alexander Solzhenitsyn, of 66 million innocent people.