South Bend news-times. (South Bend, Ind.) 1913-1938, 1922-06-18

Figures for December. 1927. show
that while the quantity OF paper
money 81 circulation was increased
SIS percent during that one month.
prices went up 100 percent on the
Moscow market.
Price tags in the store windows on
Arbat and Kuznetslti Most not in
frequently grow 20 twice their size
in the course OF a single week.
Housewives, trying 20 estimate their
household budgets more than a few
days in advance. are az their wits
ends Merchants, especially prOvin-
cia1 buyers obliged 20 lay in stock
for month ahead. are confronted
with problem that in more than a
few cases has meant bankruptcy.
The rapid dror OF the paper
rouble has created a commercial
and economic situation without pre-
cedent On world economic history.
Sensa tional ae were the chutes OF
he Austrian crown and the German
mark or foreign bourses, they never
dropped in actual purchasing value
inside the countries themselves with
anything even approach the rate
last four months.
Wildcat Speculation.
Without any stable medium Of ex-
change the Moscow market has been
converted into a wildcat field OF
speculation, IN which the spells go
20 the lucky and the quick.
Ia paying their emrloyes. or
both rrrr-rrr4 r.,rrrs nuT
pI~te firms have been obliged 20
shift 20 a theoretical gold basis. SAL
aries are reckoned in so many gold
roubles per month the actual
amount OF paper roubles varying
according 10 the average rate dur
Ing the month, or week, as the per-
iod may be.
From the employees point Of view,
thls has partly compensated for the
skyroc1eting OF prices as salaries
increased with every droI OF the pa
per rouble. millions Of which have
been poured into circulation weekly
through the various governmental
departments.
But rapidly as salaries were
linked A" the price tags always man
aged 90 keep a little ahead, forcing
the ultimate consumer 20 make up
the difference as best he could-by
selling personal belongings or spec
uIating.
The disturbing effect Of the con-
stantly shifting prices uron business
IN general however. could not be
eliminated by any hypothetical fig
urlng I'm gold roubles. Bookkeeping
has become q literal nightmare.
Long time contracts, Of course.
have been rendered out OF the ques-
ton All business has been reduced
% series Of quick "grab &c on the
wing" deals Business men I'm Mos
COW arc holding all their capital
either I'm nOnperisha BILE products or
foreign currency principally Amer
ican dollars and English pounds
Evsv the German mark is used by
ID ps one-third. according to re-
cent estimates &c being terra frma
Itself. compared with the Soviet
rouble.
Advance Of Prices.
During the period. Jan. 20
March Is flour increased 900 per-
cent: bread. soc: meat, zoo; butter.
500. potatoes 700: sugar. 400;
shoes. 1000: soap. 900; tobacco, 400.
Mix. however. and kerosine went
up only zoo percent
Matches are also at the bottom OF
the list. having increased only 200
percent.
Five months ago one could ride
three or four hours In a drotshky
for 100000 roubles. Now it costs
500. 600 Just 20 climb I'm and very,
very Few rides are short enoueh 20
be made for less than million.
Lest fan the best seat I'm the opera
could be had for So 600 roubles. To-
dav ar average "rarterre" (rear half
81 the ground floor brings a mill
Hon. and the best places sell for two