Equally farsighted was Alexander’s foundation of a unified monetary system for the empire. Under Persian rule the custom had been for the satraps to coin silver money, while the coinage of gold was reserved to the Great King. The result was that each province followed its own customs and financial chaos prevailed. Alexander reserved the minting privilege to the general government; even where provincial coining was permitted, the coins were of the same general type and bore the name of the king. The only exception to this rule is found in the case of the autonomous Greek cities on the western coast of Asia. This new monetary system was based on that of the Athenians; the bimetallic basis, as it had existed in the Persian Empire, was abandoned and the silver standard, as used at Athens and Corinth, took its place. The reformed monetary system of Alexander continued down to Roman times.
The large hoards of precious metals, which fell into Alexander’s hands during the course of his conquests, not only gave occupation to his mints, but also freed him from financial anxiety. He had begun the expedition in a state of insolvency, for he had a debt of 1300 talents with only seventy in his war chest to cover it. The maintenance of the army required a monthly expenditure of 200 talents, and to this 100 talents had to be added for the fleet. The provinces in western Asia, the first fruits of his victories, could not supply a sum so large, and it was lack of money which caused Alexander to give up his fleet in the autumn of 334. After the battle of Issus and the conquest of the rich province of Egypt, there was soon a surplus where there had been a deficit, and Alexander was able to send considerable sums of money to Antipater to help him out in his campaign in Greece.
Rich as were the Persian treasures, they were heavily and constantly drawn upon by the ever-developing military needs of the conqueror. The whole force under arms, including the very numerous garrisons, must have equaled 100,000 men. This meant at least an expense of 7000 talents; to this large sum must be added the drains caused by Alexander’s generosity, by official peculation such as that of Harpalus, and by the gifts to old soldiers, who were richly rewarded. The royal household, which was organized on the Persian model, was most expensive; the royal table alone costing 600 talents. Of course, the receipts were large, probably from fifteen to twenty thousand talents annually, but Alexandria’s budget was far from balancing; and at the time of his death, there were contained in all the treasuries of the empire only 50,000 talents, about $70,000,000, a small sum when the size of the empire is taken into account.
In administering his domains, Alexander showed great conservatism; he made few changes, he allowed each of the countries which acknowledged the Great King as its overlord to retain its particular institutions. One important modification he did introduce into the loosely organized and haphazard Persian system of rule, the division of power. The Persian satrap was generally the sole governor, having in his hands the civil, military, and financial administration. Alexander limited him to matters of internal administration, appointing a financial officer and a military commander armed with considerable powers. After the return from India, there was a further innovation made by the appointment of a Chiliarch, as the supreme director and head of the provinces, with a place immediately after the monarch himself. This official was a part of the governmental machinery of the Persian Empire, holding in it the place of a Grand Vizier. It was given to Alexander’s friend, Hephæstion, but after his death it was left vacant. The most trusted servant, the actual head of the administration, was the Chief Secretary Eumenes from Cardia, a man of first-rate military and civil capacity; he was unfailingly loyal to his master, and after Alexander’s death, suffered many vicissitudes because of his devotion to the Macedonian royal house.
Alexander was not satisfied with the rôle of conqueror; he wished to give his rule in the East that trait of legitimacy which the popular Oriental mind required as a stimulus to its loyalty. It was impossible for him to be King of Persia by the grace of God, for it was the might of his own hand, not the right of succession, that constituted him the heir of Darius. This Gordian knot of politics he solved in his own direct fashion by directing that divine honors should be paid to him by the subject populations. The custom of apotheosis originated in Egypt, but it was not alien to Greek thought, according to which no deep distinction existed between man and divinity. The mythical heroes of the Greek people, whom all allowed to have once been men, were everywhere honored with altars and sacrifice. Asclepius and Herakles sat on Olympus with the greater divinities of a purely spiritual origin. It had become not unusual in the age preceding Alexander to accord divine honors to the living. Such had been the case with Clearchus of Heracleia who had been greeted as the son of Zeus, and with Dionysius the Younger who had caused himself to be honored at Syracuse as the son of Apollo. Alexander’s achievements, far greater in comparison, gave him a right to this distinction during his lifetime; his divine origin had, besides, been attested by the Erythrian Sibyl and by the oracle at Branchidæ; with this theological and official stamp all that remained to be done was to give the accepted belief a concrete form. The cult of the conqueror became a part of the state religion in the Greek communities throughout the empire. Whether Alexander took the initiative in this form of adulation we do not know; he certainly did not discourage it, and on his return from India he did not reject the adulatory form of congratulation expressed by many Greek states, who instead of sending formal deputations, presented the so-called “theories” usual when the festivals of the gods were celebrated. Athens at first resisted this form of transcendent courtesy, but finally, in order to avoid offending Alexander, it was resolved in the year 324 to enrol the conqueror among the gods of the city under the designation of Dionysus. So this debasing custom took root in Greece; the monarch became, by a noxious fiction, differentiated from the rest of mortals, and the infection spread from Greece to Rome, and later on became crystallized in Christian civilization, through the example of the Byzantine court, and under the form of monarchy by divine right has not yet disappeared.
After the dismissal of the veterans from the army at Opis, Alexander withdrew from the plains of the Tigris, and according to the custom of the Persian monarchs spent the summer in the highlands of Media. He passed the time in relaxation; nautical and athletic festivals were held, in which celebrities from Greece took part. When the cooler weather began, there were expeditions to repress the bandit hill-tribes who dwelt between Ecbatana and Susa, people whom the Persians had never succeeded in bringing under control. Afterwards, the king returned to Babylon, where he received deputations from the Greek states and even from Italy. It was thought that an expedition to the west was being planned. But the king preferred to give his immediate attention to Arabia and, by conquering it, to open at last a direct road of communication between the interior of Persia and Egypt.
By June both the fleet and army were ready to start. A great banquet was given in honor of Nearchus, the admiral who was to undertake the adventurous voyage from the Persian Gulf to the Red Sea. The king withdrew from the feast and spent the rest of the night in a carouse with a friend, Medius. He rose late in the morning and another night was spent in excessive drinking. The following day he was attacked with fever; he could not walk and had to be carried on a couch to the altar, to make the customary sacrifices. He spent the day discussing the plans of the expedition with Nearchus. In the evening he had himself conveyed across the river to a garden villa, hoping for relief from its quiet isolation. But for six days the fever continued, the king being able only to attend the sacrificial ceremonial. His condition grew worse, and he was taken back to the palace; he slept a little, but the fever did not abate, and when his officers visited him, they saw that he had lost the power of speech. There was confusion among the soldiers, for it was rumored that their leader was dead; they clamored to be let into the palace, and passing by the bodyguard they circled past the bed of the dying monarch; but he was not able to speak and only signified by movements of his hands and eyes that he recognized them. Some of those about him spent the night in the temple of Serapis, awaiting an indication of the god that he might be transported to the temple as he lay and be healed by divine help. But they were warned, it is said, by a voice that he was not to be moved, and on the evening of June 13th he died, before he had completed his thirty-third year.
During the years of Alexander’s conquests, the history of the Greek states sinks into insignificance. After the battle of Issus all hope of defeating Macedon by a combination with Persia was abandoned. The confederacy sent congratulations, and only Sparta stood aloof. Its king, Agis, even ventured to declare war, but, after a few small successes, he was defeated in the battle of Megalopolis, losing his life in the field. Sparta then sent hostages to Alexander and was generously treated. Later on he interfered again in the affairs of Greece by directing the confederation to take back the Greek exiles, 20,000 in number, and so mark his overlordship by an era of good feeling. Only two states objected, Athens and Ætolia.
The only exciting incident in continental Greece was connected with the flight of the faithless finance minister, Harpalus, who came to the coast of Attica with 5000 talents, a body of mercenaries, and a considerable fleet, hoping to stir up a revolt. But the Athenian politicians were too cautious to be drawn into an intrigue which would certainly have proved dangerous. They seized Harpalus and took his treasure, proposing only to surrender this money to officers expressly sent by Alexander. Half the money taken disappeared and there was no official record made of the sum received. Demosthenes was involved in the scandal, and he emerged from it with a besmirched reputation. Harpalus escaped and was soon afterwards murdered. Demosthenes was condemned, imprisoned, and escaped. But Greek feeling was not sensitive about a case where it was plain that a man had appropriated stolen money for the good of the state, and Demosthenes was praised as a patriot.
Alexander’s conquests, both in method and in achievement, were but the elaboration of the groundwork laid down by Philip his father. The army that conquered Persia and invaded India was trained in the campaigns of continental Greece, and without this preliminary training in Europe, its spectacular successes in Asia would not have been possible. Up to the time of Philip of Macedon, warfare in Greece had achieved only negative results. It was not systematized, no extensive imperial rule had come to the victors through any of the decisive battlefields, for these military successes were never followed up by a consistent scheme of conquest. Philip changed all this, and he brought his developed army and his new political policy into close connection. Demosthenes himself remarked this contrast, for he said that King Philip fought his wars not only with a phalanx of heavy-armed men, but with light infantry, archers, and cavalry.