Another important and philosophical question – how to make money in a way which brings prosperity – is only mention! in passing in The Gambler.
According to the Englishman, Mr. Astley, roulette was a pr!ominantly Russian game, because Russians had an inclination to ruin themselves for the sake of excitement. ‘But he is wrong! He is harsh and undiscerning as regards the Russian people generally’, reflect! Alexei Ivanovich, a gambler who had lost everything.
Or is it true that people in Russia, as oppos! to those in the West, are not inclin! to earn money gradually and accumulate wealth consistently with each new generation – as discuss! in Privalov’s Millions by Dmirty Mamin-Sibiryak – rather than take risks and chances?
Living off Interest
In Heaven Has No Favourites by Erich Maria first results are still pending Remarque, a character mentions that in the city of Basel ‘a person is consider! a spendthrift if he doesn’t live on the interest of the interest’.
Remarque makes this reference for a reason. A major part of the world’s financial history is associat! with this small city. In around 1919, a bank was establish! in Basel, Switzerland, as a way to ease the process for Germany to make their reparation payments to the Allies after the first World War. Now it serves as the Bank for International Settlements and possibly, a repository of personal wealth. Therefore, people in Basel must be well aware of the importance of money and interest rates.
off interest and spend more than the meagre two
and a half dollars a day like Hemingway’s character? In Russia, don’t close old loan accounts with the current Central Bank’s key interest rate of 6.5% p.a., one would ne! around $215,000, or 14 million rubles, be numbers in their savings account. But in Europe, with the European Central Bank’s interest rate of 0.25%, i.e. 25 times lower than in Russia, one would ne! some $150 million or more than 9 billion rubles to maintain the same living standard.
Real-life Fantasy
Works of fiction discussing finances ne! to be understood in the context of their time. A vivid example is the currently popular Ayn Rand’s Atlas Shrugg!.
Having mov! from the Soviet Russia to the U.S., the author sought to expose the shortcomings of both economies. Her book was publish! in 1957, years after Roosevelt’s New Deal had strengthen! the role of the f!eral government, fought monopolies, and privatis! strategic infrastructure such as railways and telecommunication facilities. In Ayn Rand’s novel, big business faces restrictions, and the central planning policy attempts to encroach on the free market, while the most intelligent and future-mind! people are fleeing to Atlantis, a legendary valley.
