* Amongst themselves the peasants are not addicted to
thieving, as is proved by the fact that they habitually
leave their doors unlocked when the inmates of the house are
working in the fields; but if the muzhik finds in the
proprietor's farmyard a piece of iron or a bit of rope, or
any of those little things that he constantly requires and
has difficulty in obtaining, he is very apt to pick it up
and carry it home. Gathering firewood in the landlord's
forest he does not consider as theft, because "God planted
the trees and watered them," and in the time of serfage he
was allowed to supply himself with firewood in this way.
** Until last year (1904) they could use also corporal
punishment as a means of pressure, and I am not sure that
they do not occasionally use it still, though it is no
longer permitted by law.
In Russia, as in other countries, the principle holds true that for good labour a fair price must be paid. Several large proprietors of my acquaintance who habitually act on this principle assure me that they always obtain as much good labour as they require. I must add, however, that these fortunate proprietors have the advantage of possessing a comfortable amount of working capital, and are therefore not compelled, as so many of their less fortunate neighbours are, to manage their estates on the hand-to-mouth principle.
It is only, I fear, a minority of the landed proprietors that have grappled successfully with these and other difficulties of their position. As a class they are impoverished and indebted, but this state of things is not due entirely to serf-emancipation. The indebtedness of the Noblesse is a hereditary peculiarity of much older date. By some authorities it is attributed to the laws of Peter the Great, by which all nobles were obliged to spend the best part of their lives in the military or civil service, and to leave the management of their estates to incompetent stewards. However that may be, it is certain that from the middle of the eighteenth century downwards the fact has frequently occupied the attention of the Government, and repeated attempts have been made to alleviate the evil. The Empress Elizabeth, Catherine II., Paul, Alexander I., Nicholas I., Alexander II., and Alexander III. tried successively, as one of the older ukazes expressed it, "to free the Noblesse from debt and from greedy money-lenders, and to prevent hereditary estates from passing into the hands of strangers." The means commonly adopted was the creation of mortgage banks founded and controlled by the Government for the purpose of advancing money to landed proprietors at a comparatively low rate of interest.
These institutions may have been useful to the few who desired to improve their estates, but they certainly did not cure, and rather tended to foster, the inveterate improvidence of the many. On the eve of the Emancipation the proprietors were indebted to the Government for the sum of 425 millions of roubles, and 69 per cent. of their serfs were mortgaged. A portion of this debt was gradually extinguished by the redemption operation, so that in 1880 over 300 millions had been paid off, but in the meantime new debts were being contracted. In 1873-74 nine private land-mortgage banks were created, and there was such a rush to obtain money from them that their paper was a glut in the market, and became seriously depreciated. When the prices of grain rose in 1875-80 the mortgage debt was diminished, but when they began to fall in 1880 it again increased, and in 1881 it stood at 396 millions. As the rate of interest was felt to be very burdensome there was a strong feeling among the landed proprietors at that time that the Government ought to help them, and in 1883 the nobles of the province of Orel ventured to address the Emperor on the subject. In reply to the address, Alexander III., who had strong Conservative leanings, was graciously pleased to declare in an ukaz that "it was really time to do something to help the Noblesse," and accordingly a new land-mortgage bank for the Noblesse was created. The favourable terms offered by it were taken advantage of to such an extent that in the first four years of its activity (1886-90) it advanced to the proprietors over 200 million roubles. Then came two famine years, and in 1894 the mortgage debt of the Noblesse in that and other credit establishments was estimated at 994 millions. It has since probably increased rather than diminished, for in that year the prices of grain began to fall steadily on all the corn-exchanges of the world, and they have never since recovered.
By means of mortgages some proprietors succeeded in weathering the storm, but many gave up the struggle altogether, and settled in the towns. In the space of thirty years 20,000 of them sold their estates, and thus, between 1861 and 1892, the area of land possessed by the Noblesse diminished 30 per cent.—from 77,804,000 to 55,500,000 dessyatins.
This expropriation of the Noblesse, as it is called, was evidently not the result merely of the temporary economic disturbance caused by the abolition of serfage, for as time went on it became more rapid. During the first twenty years the average annual amount of Noblesse land sold was 517,000 dessyatins, and it rose steadily until 1892-96, when it reached the amount of 785,000. As I have already stated, the townward movement of the proprietors was strongest in the barren Northern provinces. In the province of Olonetz, for example, they have already parted with 87 per cent. of their land. In the black-soil region, on the contrary, there is no province in which more than 27 per cent. of the Noblesse land has been alienated, and in one province (Tula) the amount is only 19 per cent.
The habit of mortgaging and selling estates does not necessarily mean the impoverishment of the landlords as a class. If the capital raised in that way is devoted to agricultural improvements, the result may be an increase of wealth. Unfortunately, in Russia the realised capital was usually not so employed. A very large proportion of it was spent unproductively, partly in luxuries and living abroad, and partly in unprofitable commercial and industrial speculations. The industrial and railway fever which raged at the time induced many to risk and lose their capital, and it had indirectly an injurious effect on all by making money plentiful in the towns and creating a more expensive style of living, from which the landed gentry could not hold entirely aloof.
So far I have dwelt on the dark shadows of the picture, but it is not all shadow. In the last forty years the production and export of grain, which constitute the chief source of revenue for the Noblesse, have increased enormously, thanks mainly to the improved means of transport. In the first decade after the Emancipation (1860-70) the average annual export did not exceed 88 million puds; in the second decade (1870-80) it leapt up to 218 millions; and so it went up steadily until in the last decade of the century it had reached 388 millions—i.e., over six million tons. At the same time the home trade had increased likewise in consequence of the rapidly growing population of the towns. All this must have enriched the land-proprietors. Not to such an extent, it is true, as the figures seem to indicate, because the old prices could not be maintained. Rye, for example, which in 1868 stood at 129 kopeks per pud, fell as low as 56, and during the rest of the century, except during a short time in 1881-82 and the famine years of 1891-92, when there was very little surplus to sell, it never rose above 80. Still, the increase in quantity more than counterbalanced the fall in price. For example: in 1881 the average price of grain per pud was 119, and in 1894 it had sunk to 59; but the amount exported during that time rose from 203 to 617 million puds, and the sum received for it had risen from 242 to 369 millions of roubles. Surely the whole of that enormous sum was not squandered on luxuries and unprofitable speculation!