CHAPTER XII

THE TOWNS AND THE MERCANTILE CLASSES

General Character of Russian Towns--Scarcity of Towns in Russia--Why

the Urban Element in the Population is so Small--History of

Russian Municipal Institutions--Unsuccessful Efforts to Create a

Tiers-etat--Merchants, Burghers, and Artisans--Town Council--A Rich

Merchant--His House--His Love of Ostentation--His Conception of

Aristocracy--Official Decorations--Ignorance and Dishonesty of the

Commercial Classes--Symptoms of Change.

Those who wish to enjoy the illusions produced by scene painting and

stage decorations should never go behind the scenes. In like manner he

who wishes to preserve the delusion that Russian provincial towns are

picturesque should never enter them, but content himself with viewing

them from a distance.

However imposing they may look when seen from the outside, they will be

found on closer inspection, with very few exceptions, to be little more

than villages in disguise. If they have not a positively rustic, they

have at least a suburban, appearance. The streets are straight and wide,

and are either miserably paved or not paved at all. Trottoirs are

not considered indispensable. The houses are built of wood or brick,

generally one-storied, and separated from each other by spacious yards.

Many of them do not condescend to turn their facades to the street. The

general impression produced is that the majority of the burghers have

come from the country, and have brought their country-houses with them.

There are few or no shops with merchandise tastefully arranged in the

window to tempt the passer-by. If you wish to make purchases you must

go to the Gostinny Dvor,* or Bazaar, which consists of long, symmetrical

rows of low-roofed, dimly-lighted stores, with a colonnade in front.

This is the place where merchants most do congregate, but it presents

nothing of that bustle and activity which we are accustomed to associate

with commercial life. The shopkeepers stand at their doors or loiter

about in the immediate vicinity waiting for customers. From the scarcity

of these latter I should say that when sales are effected the profits

must be enormous.

* These words mean literally the Guests' Court or Yard. The

Ghosti--a word which is etymologically the same as our

"host" and "guest"--were originally the merchants who traded

with other towns or other countries.

In the other parts of the town the air of solitude and languor is

still more conspicuous. In the great square, or by the side of the

promenade--if the town is fortunate enough to have one--cows or horses

may be seen grazing tranquilly, without being at all conscious of the

incongruity of their position. And, indeed, it would be strange if they

had any such consciousness, for it does not exist in the minds either

of the police or of the inhabitants. At night the streets may be lighted

merely with a few oil-lamps, which do little more than render the

darkness visible, so that cautious citizens returning home late often

provide themselves with lanterns. As late as the sixties the learned

historian, Pogodin, then a town-councillor of Moscow, opposed the

lighting of the city with gas on the ground that those who chose to

go out at night should carry their lamps with them. The objection was

overruled, and Moscow is now fairly well lit, but the provincial towns

are still far from being on the same level. Some retain their old

primitive arrangements, while others enjoy the luxury of electric

lighting.

The scarcity of large towns in Russia is not less remarkable than their

rustic appearance. According to the last census (1897) the number of

towns, officially so-called, is 1,321, but about three-fifths of them

have under 5,000 inhabitants; only 104 have over 25,000, and only 19

over 100,000. These figures indicate plainly that the urban element of

the population is relatively small, and it is declared by the official

statisticians to be only 14 per cent., as against 72 per cent. in Great

Britain, but it is now increasing rapidly. When the first edition of

this work was published, in 1877, European Russia in the narrower sense

of the term--excluding Finland, the Baltic Provinces, Lithuania, Poland,

and the Caucasus--had only 11 towns with a population of over 50,000,

and now there are 34; that is to say, the number of such towns has more

than trebled. In the other portions of the country a similar increase

has taken place. The towns which have become important industrial and

commercial centres have naturally grown most rapidly. For example, in

a period of twelve years (1885-97) the populations of Lodz, of

Ekaterinoslaf, of Baku, of Yaroslavl, and of Libau, have more than

doubled. In the five largest towns of the Empire--St. Petersburg,

Moscow, Warsaw, Odessa and Lodz--the aggregate population rose during

the same twelve years from 2,423,000 to 3,590,000, or nearly 50 per

cent. In ten other towns, with populations varying from 50,000 to

282,000, the aggregate rose from 780,000 to 1,382,000, or about 77 per

cent.

That Russia should have taken so long to assimilate herself in this

respect to Western Europe is to be explained by the geographical and

political conditions. Her population was not hemmed in by natural

or artificial frontiers strong enough to restrain their expansive

tendencies. To the north, the east, and the southeast there was a

boundless expanse of fertile, uncultivated land, offering a tempting

field for emigration; and the peasantry have ever shown themselves ready

to take advantage of their opportunities. Instead of improving their

primitive system of agriculture, which requires an enormous area and

rapidly exhausts the soil, they have always found it easier and more

profitable to emigrate and take possession of the virgin land beyond.

Thus the territory--sometimes with the aid of, and sometimes in spite

of, the Government--has constantly expanded, and has already reached the

Polar Ocean, the Pacific, and the northern offshoots of the Himalayas.

The little district around the sources of the Dnieper has grown into a

mighty empire, comprising one-seventh of the land surface of the globe.

Prolific as the Russian race is, its power of reproduction could not

keep pace with its territorial expansion, and consequently the country

is still very thinly peopled. According to the latest census (1897) in

the whole empire there are under 130 millions of inhabitants, and the

average density of population is only about fifteen to the English

square mile. Even the most densely populated provinces, including Moscow

with its 988,610 inhabitants, cannot show more than 189 to the English

square mile, whereas England has about 400. A people that has such

an abundance of land, and can support itself by agriculture, is not

naturally disposed to devote itself to industry, or to congregate in

large cities.

For many generations there were other powerful influences working in the

same direction. Of these the most important was serfage, which was not

abolished till 1861. That institution, and the administrative system of

which it formed an essential part, tended to prevent the growth of the

towns by hemming the natural movements of the population. Peasants, for

example, who learned trades, and who ought to have drifted naturally

into the burgher class, were mostly retained by the master on his

estate, where artisans of all sorts were daily wanted, and the few who

were sent to seek work in the towns were not allowed to settle there

permanently.

Thus the insignificance of the Russian towns is to be attributed mainly

to two causes. The abundance of land tended to prevent the development

of industry, and the little industry which did exist was prevented by

serfage from collecting in the towns. But this explanation is evidently

incomplete. The same causes existed during the Middle Ages in Central

Europe, and yet, in spite of them, flourishing cities grew up and played

an important part in the social and political history of Germany. In

these cities collected traders and artisans, forming a distinct

social class, distinguished from the nobles on the one hand, and the

surrounding peasantry on the other, by peculiar occupations, peculiar

aims, peculiar intellectual physiognomy, and peculiar moral conceptions.

Why did these important towns and this burgher class not likewise come

into existence in Russia, in spite of the two preventive causes above

mentioned?

To discuss this question fully it would be necessary to enter into

certain debated points of mediaeval history. All I can do here is to

indicate what seems to me the true explanation.

In Central Europe, all through the Middle Ages, a perpetual struggle

went on between the various political factors of which society was

composed, and the important towns were in a certain sense the products

of this struggle. They were preserved and fostered by the mutual rivalry

of the Sovereign, the Feudal Nobility, and the Church; and those who

desired to live by trade or industry settled in them in order to enjoy

the protection and immunities which they afforded. In Russia there was

never any political struggle of this kind. As soon as the Grand Princes

of Moscow, in the sixteenth century, threw off the yoke of the Tartars,

and made themselves Tsars of all Russia, their power was irresistible

and uncontested. Complete masters of the situation, they organised the

country as they thought fit. At first their policy was favourable to the

development of the towns. Perceiving that the mercantile and industrial

classes might be made a rich source of revenue, they separated them from

the peasantry, gave them the exclusive right of trading, prevented

the other classes from competing with them, and freed them from the

authority of the landed proprietors. Had they carried out this policy in

a cautious, rational way, they might have created a rich burgher class;

but they acted with true Oriental short-sightedness, and defeated their

own purpose by imposing inordinately heavy taxes, and treating the urban

population as their serfs. The richer merchants were forced to serve

as custom-house officers--often at a great distance from their

domiciles*--and artisans were yearly summoned to Moscow to do work for

the Tsars without remuneration.

* Merchants from Yaroslavl, for instance, were sent to

Astrakhan to collect the custom-dues.

Besides this, the system of taxation was radically defective, and

the members of the local administration, who received no pay and were

practically free from control, were merciless in their exactions. In a

word, the Tsars used their power so stupidly and so recklessly that the

industrial and trading population, instead of fleeing to the towns to

secure protection, fled from them to escape oppression. At length this

emigration from the towns assumed such dimensions that it was found

necessary to prevent it by administrative and legislative measures;

and the urban population was legally fixed in the towns as the rural

population was fixed to the soil. Those who fled were brought back as

runaways, and those who attempted flight a second time were ordered to

be flogged and transported to Siberia.*

* See the "Ulozhenie" (i.e. the laws of Alexis, father of

Peter the Great), chap. xix. 13.

With the eighteenth century began a new era in the history of the

towns and of the urban population. Peter the Great observed, during his

travels in Western Europe, that national wealth and prosperity reposed

chiefly on the enterprising, educated middle classes, and he attributed

the poverty of his own country to the absence of this burgher element.

Might not such a class be created in Russia? Peter unhesitatingly

assumed that it might, and set himself at once to create it in a simple,

straightforward way. Foreign artisans were imported into his dominions

and foreign merchants were invited to trade with his subjects; young

Russians were sent abroad to learn the useful arts; efforts were made to

disseminate practical knowledge by the translation of foreign books

and the foundation of schools; all kinds of trade were encouraged, and

various industrial enterprises were organised. At the same time the

administration of the towns was thoroughly reorganised after the model

of the ancient free-towns of Germany. In place of the old organisation,

which was a slightly modified form of the rural Commune, they received

German municipal institutions, with burgomasters, town councils, courts

of justice, guilds for the merchants, trade corporations (tsekhi)

for the artisans, and an endless list of instructions regarding the

development of trade and industry, the building of hospitals, sanitary

precautions, the founding of schools, the dispensation of justice, the

organisation of the police, and similar matters.

Catherine II. followed in the same track. If she did less for trade

and industry, she did more in the way of legislating and writing

grandiloquent manifestoes. In the course of her historical studies she

had learned, as she proclaims in one of her manifestoes, that "from

remotest antiquity we everywhere find the memory of town-builders

elevated to the same level as the memory of legislators, and we see

that heroes, famous for their victories, hoped by town-building to give

immortality to their names." As the securing of immortality for her own

name was her chief aim in life, she acted in accordance with historical

precedent, and created 216 towns in the short space of twenty-three

years. This seems a great work, but it did not satisfy her ambition.

She was not only a student of history, but was at the same time a

warm admirer of the fashionable political philosophy of her time.

That philosophy paid much attention to the tiers-etat, which was then

acquiring in France great political importance, and Catherine thought

that as she had created a Noblesse on the French model, she might

also create a bourgeoisie. For this purpose she modified the municipal

organisation created by her great predecessor, and granted to all the

towns an Imperial Charter. This charter remained without essential

modification until the publication of the new Municipality Law in 1870.

The efforts of the Government to create a rich, intelligent tiers-etat

were not attended with much success. Their influence was always more

apparent in official documents than in real life. The great mass of the

population remained serfs, fixed to the soil, whilst the nobles--that

is to say, all who possessed a little education--were required for the

military and civil services. Those who were sent abroad to learn the

useful arts learned little, and made little use of the knowledge which

they acquired. On their return to their native country they very soon

fell victims to the soporific influence of the surrounding social

atmosphere. The "town-building" had as little practical result. It was

an easy matter to create any number of towns in the official sense of

the term. To transform a village into a town, it was necessary merely to

prepare an izba, or log-house, for the district court, another for the

police-office, a third for the prison, and so on. On an appointed day

the Governor of the province arrived in the village, collected the

officials appointed to serve in the newly-constructed or newly-arranged

log-houses, ordered a simple religious ceremony to be performed by the

priest, caused a formal act to be drawn up, and then declared the town

to be "opened." All this required very little creative effort; to create

a spirit of commercial and industrial enterprise among the population

was a more difficult matter and could not be effected by Imperial ukaz.

To animate the newly-imported municipal institutions, which had no

root in the traditions and habits of the people, was a task of equal

difficulty. In the West these institutions had been slowly devised in

the course of centuries to meet real, keenly-felt, practical wants. In

Russia they were adopted for the purpose of creating those wants which

were not yet felt. Let the reader imagine our Board of Trade supplying

the masters of fishing-smacks with accurate charts, learned treatises

on navigation, and detailed instructions for the proper ventilation of

ships' cabins, and he will have some idea of the effect which Peter's

legislation had upon the towns. The office-bearers, elected against

their will, were hopelessly bewildered by the complicated procedure, and

were incapable of understanding the numerous ukazes which prescribed

to them their multifarious duties and threatened the most merciless

punishments for sins of omission and commission. Soon, however, it was

discovered that the threats were not nearly so dreadful as they seemed;

and accordingly those municipal authorities who were to protect and

enlighten the burghers, "forgot the fear of God and the Tsar," and

extorted so unblushingly that it was found necessary to place them under

the control of Government officials.

The chief practical result of the efforts made by Peter and Catherine

to create a bourgeoisie was that the inhabitants of the towns were more

systematically arranged in categories for the purpose of taxation, and

that the taxes were increased. All those parts of the new administration

which had no direct relation to the fiscal interests of the Government

had very little vitality in them. The whole system had been arbitrarily

imposed on the people, and had as motive only the Imperial will. Had

that motive power been withdrawn and the burghers left to regulate their

own municipal affairs, the system would immediately have collapsed.

Rathhaus, burgomasters, guilds, aldermen, and all the other lifeless

shadows which had been called into existence by Imperial ukaz would

instantly have vanished into space. In this fact we have one of the

characteristic traits of Russian historical development compared with

that of Western Europe. In the West monarchy had to struggle with

municipal institutions to prevent them from becoming too powerful; in

Russia, it had to struggle with them to prevent them from committing

suicide or dying of inanition.

According to Catherine's legislation, which remained in force until

1870, and still exists in some of its main features, the towns were

divided into three categories: (1) Government towns (gubernskiye

goroda)--that is to say, the chief towns of provinces, or governments

(gubernii)--in which are concentrated the various organs of provincial

administration; (2) district towns (uyezdniye goroda), in which resides

the administration of the districts (uyezdi) into which the provinces

are divided; and (3) supernumerary towns (zashtatniye goroda), which

have no particular significance in the territorial administration.

In all these the municipal organisation is the same. Leaving out of

consideration those persons who happen to reside in the towns, but

in reality belong to the Noblesse, the clergy, or the lower ranks of

officials, we may say that the town population is composed of three

groups: the merchants (kuptsi), the burghers in the narrower sense of

the term (meshtchanye), and the artisans (tsekhoviye). These categories

are not hereditary castes, like the nobles, the clergy, and the

peasantry. A noble may become a merchant, or a man may be one year a

burgher, the next year an artisan, and the third year a merchant, if he

changes his occupation and pays the necessary dues. But the categories

form, for the time being, distinct corporations, each possessing a

peculiar organisation and peculiar privileges and obligations.

Of these three groups the first in the scale of dignity is that of the

merchants. It is chiefly recruited from the burghers and the peasantry.

Any one who wishes to engage in commerce inscribes himself in one of the

three guilds, according to the amount of his capital and the nature of

the operations in which he wishes to embark, and as soon as he has paid

the required dues he becomes officially a merchant. As soon as he ceases

to pay these dues he ceases to be a merchant in the legal sense of the

term, and returns to the class to which he formerly belonged. There

are some families whose members have belonged to the merchant class for

several generations, and the law speaks about a certain "velvet-book"

(barkhatnaya kniga) in which their names should be inscribed, but in

reality they do not form a distinct category, and they descend at once

from their privileged position as soon as they cease to pay the annual

guild dues.

The artisans form the connecting link between the town population

and the peasantry, for peasants often enrol themselves in the

trades-corporations, or tsekhi, without severing their connection

with the rural Communes to which they belong. Each trade or handicraft

constitutes a tsekh, at the head of which stands an elder and two

assistants, elected by the members; and all the tsekhi together form

a corporation under an elected head (remeslenny golova) assisted by a

council composed of the elders of the various tsekhi. It is the duty of

this council and its president to regulate all matters connected with

the tsekhi, and to see that the multifarious regulations regarding

masters, journeymen, and apprentices are duly observed.

The nondescript class, composed of those who are inscribed as permanent

inhabitants of the towns, but who do not belong to any guild or tsekh,

constitutes what is called the burghers in the narrower sense of the

term. Like the other two categories, they form a separate corporation,

with an elder and an administrative bureau.

Some idea of the relative numerical strength of these three categories

may be obtained from the following figures. Thirty years ago in European

Russia the merchant class (including wives and children) numbered about

466,000, the burghers about 4,033,000, and the artisans about 260,000.

The numbers according to the last census are not yet available.

In 1870 the entire municipal administration was reorganised on modern

West-European principles, and the Town Council (gorodskaya duma),

which formed under the previous system the connecting link between the

old-fashioned corporations, and was composed exclusively of members

of these bodies, became a genuine representative body composed of

householders, irrespective of the social class to which they might

belong. A noble, provided he was a house-proprietor, could become Town

Councillor or Mayor, and in this way a certain amount of vitality and a

progressive spirit were infused into the municipal administration. As a

consequence of this change the schools, hospitals, and other benevolent

institutions were much improved, the streets were kept cleaner and

somewhat better paved, and for a time it seemed as if the towns in

Russia might gradually rise to the level of those of Western Europe. But

the charm of novelty, which so often works wonders in Russia, soon wore

off. After a few years of strenuous effort the best citizens no longer

came forward as candidates, and the office-bearers selected no longer

displayed zeal and intelligence in the discharge of their duties. In

these circumstances the Government felt called upon again to intervene.

By a decree dated June 11, 1892, it introduced a new series of reforms,

by which the municipal self-government was placed more under the

direction and control of the centralised bureaucracy, and the attendance

of the Town Councillors at the periodical meetings was declared to be

obligatory, recalcitrant members being threatened with reprimands and

fines.

This last fact speaks volumes for the low vitality of the institutions

and the prevalent popular apathy with regard to municipal affairs. Nor

was the unsatisfactory state of things much improved by the new reforms;

on the contrary, the increased interference of the regular officials

tended rather to weaken the vitality of the urban self government, and

the so-called reform was pretty generally condemned as a needlessly

reactionary measure. We have here, in fact, a case of what has often

occurred in the administrative history of the Russian Empire since the

time of Peter the Great, and to which I shall again have occasion to

refer. The central authority, finding itself incompetent to do all that

is required of it, and wishing to make a display of liberalism, accords

large concessions in the direction of local autonomy; and when it

discovers that the new institutions do not accomplish all that was

expected of them, and are not quite so subservient and obsequious as

is considered desirable, it returns in a certain measure to the old

principles of centralised bureaucracy.

The great development of trade and industry in recent years has of

course enriched the mercantile classes, and has introduced into them

a more highly educated element, drawn chiefly from the Noblesse, which

formerly eschewed such occupations; but it has not yet affected very

deeply the mode of life of those who have sprung from the old merchant

families and the peasantry. When a merchant, contractor, or manufacturer

of the old type becomes wealthy, he builds for himself a fine house, or

buys and thoroughly repairs the house of some ruined noble, and spends

money freely on parquetry floors, large mirrors, malachite tables, grand

pianos by the best makers, and other articles of furniture made of the

most costly materials. Occasionally--especially on the occasion of a

marriage or a death in the family--he will give magnificent banquets,

and expend enormous sums on gigantic sterlets, choice sturgeons, foreign

fruits, champagne, and all manner of costly delicacies. But this lavish,

ostentatious expenditure does not affect the ordinary current of his

daily life. As you enter those gaudily furnished rooms you can perceive

at a glance that they are not for ordinary use. You notice a rigid

symmetry and an indescribable bareness which inevitably suggest that

the original arrangements of the upholsterer have never been modified or

supplemented. The truth is that by far the greater part of the house is

used only on state occasions. The host and his family live down-stairs

in small, dirty rooms, furnished in a very different, and for them more

comfortable, style. At ordinary times the fine rooms are closed, and the

fine furniture carefully covered.

If you make a visite de politesse after an entertainment, you will

probably have some difficulty in gaining admission by the front door.

When you have knocked or rung several times, some one will come round

from the back regions and ask you what you want. Then follows another

long pause, and at last footsteps are heard approaching from within. The

bolts are drawn, the door is opened, and you are led up to a spacious

drawing-room. At the wall opposite the windows there is sure to be a

sofa, and before it an oval table. At each end of the table, and at

right angles to the sofa, there will be a row of three arm-chairs. The

other chairs will be symmetrically arranged round the room. In a few

minutes the host will appear, in his long double-breasted black coat

and well-polished long boots. His hair is parted in the middle, and his

beard shows no trace of scissors or razor.

After the customary greetings have been exchanged, glasses of tea, with

slices of lemon and preserves, or perhaps a bottle of champagne, are

brought in by way of refreshments. The female members of the family

you must not expect to see, unless you are an intimate friend; for the

merchants still retain something of that female seclusion which was in

vogue among the upper classes before the time of Peter the Great. The

host himself will probably be an intelligent, but totally uneducated and

decidedly taciturn, man.

About the weather and the crops he may talk fluently enough, but he will

not show much inclination to go beyond these topics. You may, perhaps,

desire to converse with him on the subject with which he is best

acquainted--the trade in which he is himself engaged; but if you make

the attempt, you will certainly not gain much information, and you may

possibly meet with such an incident as once happened to my travelling

companion, a Russian gentleman who had been commissioned by two learned

societies to collect information regarding the grain trade. When

he called on a merchant who had promised to assist him in his

investigation, he was hospitably received; but when he began to speak

about the grain trade of the district the merchant suddenly interrupted

him, and proposed to tell him a story. The story was as follows:

Once on a time a rich landed proprietor had a son, who was a thoroughly

spoilt child; and one day the boy said to his father that he wished all

the young serfs to come and sing before the door of the house. After

some attempts at dissuasion the request was granted, and the young

people assembled; but as soon as they began to sing, the boy rushed out

and drove them away.

When the merchant had told this apparently pointless story at great

length, and with much circumstantial detail, he paused a little, poured

some tea into his saucer, drank it off, and then inquired, "Now what do

you think was the reason of this strange conduct?"

My friend replied that the riddle surpassed his powers of divination.

"Well," said the merchant, looking hard at him, with a knowing grin,

"there was no reason; and all the boy could say was, 'Go away, go away!

I've changed my mind; I've changed my mind'" (poshli von; otkhotyel).

There was no possibility of mistaking the point of the story. My friend

took the hint and departed.

The Russian merchant's love of ostentation is of a peculiar

kind--something entirely different from English snobbery. He may delight

in gaudy reception-rooms, magnificent dinners, fast trotters, costly

furs; or he may display his riches by princely donations to churches,

monasteries, or benevolent institutions: but in all this he never

affects to be other than he really is. He habitually wears a costume

which designates plainly his social position; he makes no attempt

to adopt fine manners or elegant tastes; and he never seeks to gain

admission to what is called in Russia la societe. Having no desire to

seem what he is not, he has a plain, unaffected manner, and sometimes

a quiet dignity which contrasts favourably with the affected manner of

those nobles of the lower ranks who make pretensions to being highly

educated and strive to adopt the outward forms of French culture. At his

great dinners, it is true, the merchant likes to see among his guests as

many "generals"--that is to say, official personages--as possible, and

especially those who happen to have a grand cordon; but he never dreams

of thereby establishing an intimacy with these personages, or of being

invited by them in return. It is perfectly understood by both parties

that nothing of the kind is meant. The invitation is given and accepted

from quite different motives. The merchant has the satisfaction of

seeing at his table men of high official rank, and feels that the

consideration which he enjoys among people of his own class is thereby

augmented. If he succeeds in obtaining the presence of three generals,

he obtains a victory over a rival who cannot obtain more than two. The

general, on his side, gets a first-rate dinner, a la russe, and acquires

an undefined right to request subscriptions for public objects or

benevolent institutions.

Of course this undefined right is commonly nothing more than a mere

tacit understanding, but in certain cases the subject is expressly

mentioned. I know of one case in which a regular bargain was made. A

Moscow magnate was invited by a merchant to a dinner, and consented

to go in full uniform, with all his decorations, on condition that the

merchant should subscribe a certain sum to a benevolent institution in

which he was particularly interested. It is whispered that such bargains

are sometimes made, not on behalf of benevolent institutions, but simply

in the interest of the gentleman who accepts the invitation. I cannot

believe that there are many official personages who would consent to let

themselves out as table decorations, but that it may happen is proved by

the following incident, which accidentally came to my knowledge. A

rich merchant of the town of T---- once requested the Governor of the

Province to honour a family festivity with his presence, and added that

he would consider it a special favour if the "Governoress" would

enter an appearance. To this latter request his Excellency made

many objections, and at last let the petitioner understand that her

Excellency could not possibly be present, because she had no velvet

dress that could bear comparison with those of several merchants' wives

in the town. Two days after the interview a piece of the finest velvet

that could be procured in Moscow was received by the Governor from

an unknown donor, and his wife was thus enabled to be present at the

festivity, to the complete satisfaction of all parties concerned.

It is worthy of remark that the merchants recognise no aristocracy but

that of official rank. Many merchants would willingly give twenty pounds

for the presence of an "actual State Councillor" who perhaps never heard

of his grandfather, but who can show a grand cordon; whilst they would

not give twenty pence for the presence of an undecorated Prince without

official rank, though he might be able to trace his pedigree up to the

half-mythical Rurik. Of the latter they would probably say, "Kto ikh

znact?" (Who knows what sort of a fellow he is?) The former, on the

contrary, whoever his father and grandfather may have been, possesses

unmistakable marks of the Tsar's favour, which, in the merchant's

opinion, is infinitely more important than any rights or pretensions

founded on hereditary titles or long pedigrees.

Some marks of Imperial favour the old-fashioned merchants strive to

obtain for themselves. They do not dream of grand cordons--that is far

beyond their most sanguine expectations--but they do all in their power

to obtain those lesser decorations which are granted to the mercantile

class. For this purpose the most common expedient is a liberal

subscription to some benevolent institution, and occasionally a regular

bargain is made. I know of at least one instance where the kind of

decoration was expressly stipulated. The affair illustrates so well the

commercial character of these transactions that I venture to state the

facts as related to me by the official chiefly concerned. A merchant

subscribed to a society which enjoyed the patronage of a Grand Duchess

a considerable sum of money, under the express condition that he

should receive in return a St. Vladimir Cross. Instead of the desired

decoration, which was considered too much for the sum subscribed, a

cross of St. Stanislas was granted; but the donor was dissatisfied with

the latter and demanded that his money should be returned to him. The

demand had to be complied with, and, as an Imperial gift cannot be

retracted, the merchant had his Stanislas Cross for nothing.

This traffic in decorations has had its natural result. Like paper money

issued in too large quantities, the decorations have fallen in value.

The gold medals which were formerly much coveted and worn with pride by

the rich merchants--suspended by a ribbon round the neck--are now

little sought after. In like manner the inordinate respect for official

personages has considerably diminished. Fifty years ago the provincial

merchants vied with each other in their desire to entertain any great

dignitary who honoured their town with a visit, but now they seek rather

to avoid this expensive and barren honour. When they do accept the

honour, they fulfil the duties of hospitality in a most liberal spirit.

I have sometimes, when living as an honoured guest in a rich merchant's

house, found it difficult to obtain anything simpler than sterlet,

sturgeon, and champagne.

The two great blemishes on the character of the Russian merchants as

a class are, according to general opinion, their ignorance and their

dishonesty. As to the former of these there cannot possibly be any

difference of opinion. Many of them can neither read nor write, and are

forced to keep their accounts in their memory, or by means of ingenious

hieroglyphics, intelligible only to the inventor. Others can decipher

the calendar and the lives of the saints, can sign their names with

tolerable facility, and can make the simpler arithmetical calculations

with the help of the stchety, a little calculating instrument, composed

of wooden balls strung on brass wires, which resembles the "abaca"

of the old Romans, and is universally used in Russia. It is only the

minority who understand the mysteries of regular book-keeping, and of

these very few can make any pretensions to being educated men.

All this, however, is rapidly undergoing a radical change. Children are

now much better educated than their parents, and the next generation

will doubtless make further progress, so that the old-fashioned type

above described is destined to disappear. Already there are not a few

of the younger generation--especially among the wealthy manufacturers

of Moscow--who have been educated abroad, who may be described as tout

a fait civilises, and whose mode of life differs little from that of

the richer nobles; but they remain outside fashionable society, and

constitute a "set" of their own.

As to the dishonesty which is said to be so common among the Russian

commercial classes, it is difficult to form an accurate judgment. That

an enormous amount of unfair dealing does exist there can be no possible

doubt, but in this matter a foreigner is likely to be unduly severe. We

are apt to apply unflinchingly our own standard of commercial morality,

and to forget that trade in Russia is only emerging from that primitive

condition in which fixed prices and moderate profits are entirely

unknown. And when we happen to detect positive dishonesty, it seems to

us especially heinous, because the trickery employed is more primitive

and awkward than that to which we are accustomed. Trickery in weighing

and measuring, for instance, which is by no means uncommon in Russia,

is likely to make us more indignant than those ingenious methods of

adulteration which are practised nearer home, and are regarded by many

as almost legitimate. Besides this, foreigners who go to Russia and

embark in speculations without possessing any adequate knowledge of

the character, customs, and language of the people positively invite

spoliation, and ought to blame themselves rather than the people who

profit by their ignorance.

All this, and much more of the same kind, may be fairly urged in

mitigation of the severe judgments which foreign merchants commonly pass

on Russian commercial morality, but these judgments cannot be reversed

by such argumentation. The dishonesty and rascality which exist among

the merchants are fully recognised by the Russians themselves. In all

moral affairs the lower classes in Russia are very lenient in their

judgments, and are strongly disposed, like the Americans, to admire

what is called in Transatlantic phraseology "a smart man," though the

smartness is known to contain a large admixture of dishonesty; and yet

the vox populi in Russia emphatically declares that the merchants as a

class are unscrupulous and dishonest. There is a rude popular play in

which the Devil, as principal dramatis persona, succeeds in cheating all

manner and conditions of men, but is finally overreached by a genuine

Russian merchant. When this play is acted in the Carnival Theatre in St.

Petersburg the audience invariably agrees with the moral of the plot.

If this play were acted in the southern towns near the coast of the

Black Sea it would be necessary to modify it considerably, for here,

in company with Jews, Greeks, and Armenians, the Russian merchants seem

honest by comparison. As to Greeks and Armenians, I know not which of

the two nationalities deserves the palm, but it seems that both are

surpassed by the Children of Israel. "How these Jews do business,"

I have heard a Russian merchant of this region exclaim, "I cannot

understand. They buy up wheat in the villages at eleven roubles per

tchetvert, transport it to the coast at their own expense, and sell it

to the exporters at ten roubles! And yet they contrive to make a profit!

It is said that the Russian trader is cunning, but here 'our brother'

[i.e., the Russian] can do nothing." The truth of this statement I have

had abundant opportunities of confirming by personal investigations on

the spot.

If I might express a general opinion regarding Russian commercial

morality, I should say that trade in Russia is carried on very much on

the same principle as horse-dealing in England. A man who wishes to buy

or sell must trust to his own knowledge and acuteness, and if he gets

the worst of a bargain or lets himself be deceived, he has himself to

blame. Commercial Englishmen on arriving in Russia rarely understand

this, and when they know it theoretically they are too often unable,

from their ignorance of the language, the laws, and the customs of the

people, to turn their theoretical knowledge to account. They indulge,

therefore, at first in endless invectives against the prevailing

dishonesty; but gradually, when they have paid what Germans call

Lehrgeld, they accommodate themselves to circumstances, take large

profits to counterbalance bad debts, and generally succeed--if they have

sufficient energy, mother-wit, and capital--in making a very handsome

income.

The old race of British merchants, however, is rapidly dying out, and I

greatly fear that the rising generation will not be equally successful.

Times have changed. It is no longer possible to amass large fortunes

in the old easy-going fashion. Every year the conditions alter, and

the competition increases. In order to foresee, understand, and take

advantage of the changes, one must have far more knowledge of the

country than the men of the old school possessed, and it seems to me

that the young generation have still less of that knowledge than their

predecessors. Unless some change takes place in this respect, the German

merchants, who have generally a much better commercial education and are

much better acquainted with their adopted country, will ultimately, I

believe, expel their British rivals. Already many branches of commerce

formerly carried on by Englishmen have passed into their hands.

It must not be supposed that the unsatisfactory organisation of the

Russian commercial world is the result of any radical peculiarity of

the Russian character. All new countries have to pass through a similar

state of things, and in Russia there are already premonitory symptoms

of a change for the better. For the present, it is true, the extensive

construction of railways and the rapid development of banks and limited

liability companies have opened up a new and wide field for all kinds

of commercial swindling; but, on the other hand, there are now in every

large town a certain number of merchants who carry on business in the

West-European manner, and have learnt by experience that honesty is

the best policy. The success which many of these have obtained will

doubtless cause their example to be followed. The old spirit of caste

and routine which has long animated the merchant class is rapidly

disappearing, and not a few nobles are now exchanging country life and

the service of the State for industrial and commercial enterprises.

In this way is being formed the nucleus of that wealthy, enlightened

bourgeoisie which Catherine endeavoured to create by legislation; but

many years must elapse before this class acquires sufficient social and

political significance to deserve the title of a tiers-etat.

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