[A] The United States had, January 1, 1870, 48,860 miles of railroad in operation, and 27,507 miles projected and in progress.
"The principal productions of Russia are grain, hemp, flax, linseed, tallow, and lumber. Wheat is by far the most important crop, and is raised in vast quantities on the plains of Central Russia, and the steppes of the south. It exported, in 1867, nearly one hundred millions of rubles' worth of this grain. Next in value is the flax crop, of which the exports amounted in the same year to about twenty million rubles."
"How much is a ruble?" asked Captain Cantwell.
"That is rather a difficult question to answer," replied the professor.
"Harper's Hand-book says in one place, a ruble is eighty cents; in another, that it is seventy; in another, eighty-three," suggested one of the students.
"Nearly all the money in circulation is paper, subject to varying discounts, from ten to twenty per cent. Our money is also paper, and at a discount of twelve or fifteen per cent. I have made a careful comparison of the values of a dollar and a ruble, using the weight of pure silver in each as a basis, and I find that a ruble is 74.88+ cents; call it seventy-five cents. When gold bears a premium of twenty per cent, in Russia,—which I understand is the usual rate at the present time,—a ruble is worth sixty-four cents; but with our gold at a premium of twelve and a half per cent., its value would be raised to seventy-two cents."
"Of course these figures are useful only in comparing values as they exist in the two countries," interposed Dr. Winstock.
"Precisely so. I make no account of exchange."
"With your permission, I will make an actual statement of a case," added the surgeon; and the boys were interested in the discussion. "Being in St. Petersburg, I want money, and go to Asmus, Simonsen, & Co., bankers. My letter of credit is payable in pounds sterling, and the bankers draw on Bowles Brothers & Co., London, for the amount which they pay me,—say twenty pounds,—and Bowles Brothers & Co. draw on New York or Boston. My twenty pounds, with gold at sixteen and two thirds, and exchange at ten per cent., costs me in New York $114.07. With exchange between St. Petersburg and London at twenty-nine and a half pence to the ruble, twenty pounds produces R 162.71 copecks. Deducting one half per cent. commission, 81 copecks, and 40 copecks for postage, my net return is R 161.50 copecks. Now, comparing what I pay in New York with what I receive in St. Petersburg, I find that my paper ruble has cost me seventy and one tenth cents in currency, which reduced to gold; at twenty per cent. premium, is sixty one and two thirds cents."