From: "MPCgram" To: Subject: MPCGram 1006 Date: Friday, September 12, 2003 10:29 PM =========================================== MPC GRAM =========================================== Covering the entire World of Military Numismatics Series 004 - Number 1006 Friday September 12, 2003 Financing War by Warner Talso I have just reviewed pictures of Marcus Turner's exhibit on "The USSR in World War II." It is outstanding. If you have not seen it, you must make an effort to do so next time he shows it. Marcus has graciously allowed me to use some of the material for a discussion of Russian war financing. This presentation is to be in two parts: the first, a discussion of financing strategy, and the second, a review of financial instruments. An aspect of this was touched on when discussing the Soviet-Swedish bonds. This will not be repeated, but there seems to be a thread developing. Several economists have alluded to the fact that nations at war, or planning for war, include foreign investments as a specific element in financing war. Interesting concept. We will have to develop this further for future discussion. For the USSR, the financing of World War II required unusual measures even for a totalitarian regime already structured to exercise complete control over the economy. Keep in mind that the Soviet system had been a work-in-progress since the Bolshevik Revolution in 1917. Workers were forced to accept payments in inconvertible rubles and pay state determined prices for whatever goods where allotted to the civilian sector by the state. This started long before the war. So when it became necessary to finance the "Great Patriotic War," the state immediately increased its revenues by raising prices and keeping wages low. However, the increased state revenues and the increasing allocation of them toward the military budget, proved inadequate. In 1942, the issuance of bonds (sometimes called loans, but not really, in the conventional sense) and lottery tickets to the Soviet public accounted for almost 20% of the total war budget in that year. This was the highest point reached by non-financial sources of funds. The average over the entire war was 12.5% and in 1946 the Soviet government reduced new debt to only 1.2% of total expenditures. Unlike the other belligerents, whose wartime financial practices left permanent effects upon their financial sector and future monetary policy, the Soviets rapidly reverted to their prewar budgetary practices. Perhaps this was because Stalin was the only wartime leader to continue in power in the peace that followed. Note the lack of conventional loans in the war finances of the Soviet Union. This implies that the burdens of the war were met, more than in any other country, by the current generation. Indeed, this financial burden, plus gross inefficiencies of the Soviet system, combined with the devastation wrought by Nazi armies inflicted very heavy losses upon the Russian people.  =========================================== Editorial/opinion =========================================== Can it be? Say it is not so. The Fredster seems to be out of topics to talk about! Naw, cannot be. My desk overflows with ideas, discoveries, half finished and unstarted projects. After receiving John Cheney’s reservation for Fest VI, today we received the reservation of Dan Freeland for Fest V. Welcome Dan! The running total of reservations for Fest V is developing about as usual I think and the same with the new Fester reservations. The next new Fester will get us to double digits for new Festers for Fest V. The goal for new Festers is 12. We had eleven Festers at Fest one so we like to beat that each year! If you are thinking about coming to the Fest, please speak up! =========================================== MAIL CALL =========================================== Dear Gram, Got the info from a David E Seelye price list. Please add my name [to the Gram subscription list]. Thanks. RMD Dear Sir, Welcome! Daivd always does a great service promoting the Gram and the Fest (and MPC etc in general). I hope that we see you at a Fest soon! Editor Dear Editor: I was delighted to see Wendell's response to my Gram article on German financing of WWII (GRAM 1004). The war bond argument is one we have discussed before.  Again, it depends on how you want to define a "war bond." The observation that Nazi Germany financed the war primarily by direct taxation was taken from WWII Remembered.  Perhaps we could ask the authors to justify that statement.  On several points I found directly contradictory statements among several sources.  I finessed these points by avoiding them. I emphatically agree that there is plenty of room for more research. Warner Dear Gram, Just a friendly reminder, the IBNS London Congress will be held on October 4 and 5 at the Trade Union Congress hall, two blocks from the British Museum. This is a relatively small event compared to Memphis or Maastricht, but in the past there has been no shortage of WWII items on the floor. It is definitely a fun event. If you have a paybook, bring it along and you shall be paid. If you do not have a paybook, find a challenge coin. Anyone who presents their (own, personal, not someone else's) challenge coin shall qualify for partial pay. If you do not have a challenge coin, get one now! They should not be difficult to find. Marcus Turner Dear Gram, I would like to make a reservation for MPCfest V. When is payment due? Thanks, Dan Freeland Dear Dan, Basically the deadline for payment is Dec 31, so you have some time to raise some dough. We look forward to seeing you! Editor =========================================== CALENDAR OF EVENTS =========================================== Long Beach California will be Saturday Sept. 20 at 5:00 PM in one of the rooms adjoining the show. Contact: Al Glaser, thetrader.2@cox.net. IBNS London Congress on October 4 and 5 at the Trade Union Congress hall, two blocks from the British Museum. If you have a paybook, bring it along and you shall be paid. If you do not have a paybook, find a challenge coin. Anyone who presents their (own, personal, not someone else's) challenge coin shall qualify for partial pay. If you do not have a challenge coin, get one now! PCDA National and World Paper Money Convention. November 19-23, 2003. St. Louis Hilton Airport Hotel, 10330 Natural Bridge Road, St. Louis, MO 63134. Lyn Knight auction, consignment deadline September 30, 2003 2004 CPMX February 26-28, Lyn Knight auction. Consignment deadline January 10, 2004. March 5-7, MPCFest V, reservations now being accepted. Reservations entered in order received: Roger Urce#$$, John Cheney#$, David Seelye, Harold Kroll, Gail Baker#, Leo May$$$, Kevin Neidy, Cuneyd Tolek, Warner Talso, Cameron Bueschel, Wendell Wolka, John V. Craig#, John Cheney#, Steve Swoish, Joe Bissell#, Sparky Watson, Nick Schrier, Loretta Freyser, Dick Freyser, Ron Waddell, Robert Drew, Ed Arrich#, Neil Shafer#, Dan Freeland#, Fred Schwan. # new Fester, $ paid. $$ paid single occupancy. Running totals: total 25, new festers 9. Standard rate $148, single occupancy $198, payments may be made by mailing paper instruments of any kind to BNR Press (or MPCFest or even Fred Schwan) at 132 E. Second St., Port Clinton, OH 43452. Payments may also be sent via PayPal (fredschawan@yahoo.com). Once you have sent your payment, monitor the above list to ensure that it has been received and posted). Show n tell: Gail Baker (education@money.org ) Travel coordination: Sparky Watson (mcwatson@yahoo.com ) Auction items: Larry Smulczenski (skifla@prodigy.net) Exhibits: Joe Boling (joeboling@aol.com) Masstricht April 23-25, Valkenburg, The Netherlands, contact Jos Eijsermans, Box 3240, NL 5930 Tegelen Netherlands 2005 date tba, MPCFest VI, reservations now being accepted. Reservations entered in order received: John Cheney$, Fred Schwan. # new Fester, $ paid. $$ paid single occupancy. Running totals: total 2, new festers 0. ======================================== 2004 scholarship fund Donations of cash and numismatic material will be gladly accepted. Generally the numismatic material is auctioned at MPCFest, but might be sold via ebay or other places. Your scholarship donations help the hobby by sending qualified individuals to the ANA summer seminar military money class. Except for unavoidable charges like ebay fees, 100% of yourdonation goes to scholarships. Al Glaser RA Medina Warner Talso David Seelye Russ Walsh Joe Boling Harold Kroll Pam West Ed Hoffman Ron Wadell Wes Hardy Dick Freyser Robert Drew Brett Irick Kevin Neidy Brian Giese 2003 Scholarship Donors Ed Hoffman - RA Medina - Dick Freyser -Larry Smulczenski - David Seelye - Howard Daniel - Steve Feller - Warner Talso - Pam West - Mr. 691 - Leo May - John & Nancy Wilson - Max Spiegel - Gail Baker - Chris Connell - Bill Haines - Joel Shafer - Mikhail (Misha) Istomin - Gary Hicks - Robert Drew - Tom Warburton - Larry Lee - Fred Schwan - Mark Watson - Harold Kroll - Ian Marshall - Marcus Turner - Neil Shafer - Keith & Sue Bauman Contact me at: "Marcus Turner" mailto: maturner@indy.rr.com Checks should be made out to the "Military Numismatists Scholarship." or Marcus Turner 8103 East US Highway 36 Suite 163 Avon, Indiana 46123 USA IMPORTANT SCHOLARSHIP INFORMATION Additional information can be found at the link below. We encourage everyone to print copies of this information and distribute it to those who might be interested. Further you are encouraged to e-mail the pdf document to anyone you see fit. Thank you http://www.papermoneyworld.net/news/Military Numismatists Scholarship Fund 2003.pdf Marcus Turner Scholarships from the ANA: See the following location for an application for financial aid to the summer seminar: http://www.money.org/sumsemfin.html =========================================== MPC ANA Museum Project =========================================== ANA collection of MPC: Thanks to donations from Douglas Bell, Dick Fryser, Ed Beaman, Bruce Peacock, David Seelye, Michael Cummings, Ray Czahor, David Pitchford and Mr 691the ANA MPC collection is current as follows: Series 100 - [50 sen], [1Y, 5Y, 10Y, 20Y all A underprint] Series 461 - 5, [10] cents, [$1] Series 471 - [5, 10, 25, 50 cents, $10] Series 472 - [5, 10 cents], [$1, $10] Series 481 - 5 cents, [10, 25 cents], 50 cents, $1, [$5] $10 Series 521 - 5, 10, 25, 50 cents, [$10] Series 541 - 5, 10, 25 cents Series 591 - [5, 10, 25, 50 cents, $1] Series 611 - [5, 10, 25 cents, $1] Series 641 - 5, 10, 25, 50 cents, $1, $5, $10 Series 651 - [$1] Series 661 - [10, 25, 50c], [$5], [$1, $5] $10 Series 681 - 5, 10, 25, 50 cents, $1, [$5], [$20] Series 691 - [$1, $5, $10, $20] Series 692 - 5, 10, 25, 50 cents, $1 Series 701 - [$1, $5, $10, $20] [50c etc.] = notes donated by Gramsters --Chris Connell =========================================== RESEARCH =========================================== New modification to the database you can now retrieve your password if you have forgotten at the main logon screen. Keep in mind syntax is important. The mpc database has changed its name it now going to be referred as, WW II P a p e r M o n e y D a t a B a s e This is just a hint of things to come If you are having trouble logging on please inform Doug Bell At doug@papermoneyworld.net Papermoneyworld maintains an innovative interactive data base of all military payment certificates. Everyone is invited to enter notes in their possession or that they have observed. Visit the site at: http://www.papermoneyworld.net/user/default.asp this project is financially supported by David Seelye http://www.thempcman.net/ , mailto: coinman@rochester.rr.com =========================================== Subscription information: =========================================== You can enter an email address to receive the gram by using the link below. Use this to change your address (add the new one), add a friend or enemy. http://www.papermoneyworld.net/WebMailList/Default.asp ========================================= HOT CONTACT LIST - DEALER & RESOURCE LIST Below is the BNR Press Hot Contact List. This list serves several functions. Obviously it is an outreach by the dealers listed for your business. Most of them buy and sell MPC. Others organize shows or publish periodicals, or furnish information dedicated to this field. They have supported the new Comprehensive Catalog of Military Payment Certificates with their advertising. They deserve your support and patronage! Name phone fax / cell email Allens (614) 882-3937 (614) 882-0662 info@allens.com American Coins & Collectibles (800) 865-3562 American Numismatic Ass'n (800) 367-9723 ana@money.org Guy Araby (562) 945-7891(310) 508-0018 guyaraby@earthlink.net Bob Baker(713) 864-3122 Ken Barr (408) 272-3247 ken@kenbarr.com Fred Bart (810) 979-3400 Dick Balbaton (508) 699-2266 (508) 643-1154 RBalbaton@aol.com Keith and Suzanne Bauman (248) 647 8938 tnaksbauman@earthlink.net Joe Bissell (602) 440-0442 (602) 494-9103 BNR Press (419) 732-6683 (419) 732-6683 fredschwan@yahoo.com Remy Bourne (800) 789-7070 (763) 789-4747 Ed Carne (614) 882-3937 (614) 882-0662 info@allens.com Champion Stamp (212) 489-8130 (212) 581-8130 Cookie Jar Collectibles (301) 604-9225 cjcpi@comcast.net Guido Crapanzano [39] 2-8056228 [39] 2-4459856 Currency Dealer Newsletter (310) 515-7369 David F. Cieniewicz (205) 852-7015 CGC (602) 493-4758 (602) 494-9103 sales@gradedcurrency.com Mike Cummings (863) 603-9899 (863) 603-9880 mpccoin@hotmail.com Cygnet Charters (419) 734-2422 Ray Czahor (301) 604-9225 cjcpi@comcast.net Denlys of Boston (617) 482-8477 denlys@aol.com Doric Coins & Currency (508) 699-2266 (508) 643-1154 FUN (407) 321-8747 Great Lakes Bank Note Company (419) 732-6683 IBNS joeboling@aol.com Essie Kashani (909) 627-3996 (909) 627-2776 kashani10@aol.com Lowel Horwdel (765) 583-2748 (765) 583-4584 horwdel@inshightbb.com Lyn Knight (800) 243-5211 Krause Publications (715) 445-2214 (715) 445-4087 bnr@krause.com Harold Kroll(251) 649-5134 HARBONS@aol.com Leo May (305) 720-0659 LeoMayEnt@aol.com Ian Marshall (416) 445-0286 (416) 445-0286 iam@total.net Memphis Coin Club (901) 757-2515 MPCGram (419) 732-6683 MPCGram@yahoo.com Pomexport Ltd. 1-201-641-6641 / Fax: 1-201-641-1700 E-Mail: Info@pomexport.com // website: http://www.Pomexport.com Bob Reed(504) 361-5684 bobreed@rrcoins.net Fred Schwan (419) 732-6683 (419) 732-6683 FredSchwan@yahoo.com David Seelye (585) 594-1987 (585) 594-2311 coinman@rochester.rr.com Richie Self (318) 868-9077 R. M. Smythe (800) 622-1880 (212) 908-4047 www.smytheonline.com Mel Steinberg & Son (415) 897-1654 (voice and fax) melsteinberg@mindspring.com Military Trader (800) 334-7165 Scott Winslow Associates (603)472-7040 (603) 472-8773 scott@scottwinslow.com George Warner(307) 672-3700 Pam West [44] 0208 641 3224[44] 0208 641 3224 pamwestbritnotes@compuserve.com ======================================= POST / BASE EXCHANGE(PX/BX/NEX) Dump your dupes! Your classified advertisement for items for sale, purchase or trade will be run here for free. Send your ads to the gram. This service is for everyone, most humble dealer or most advanced collector. The point is to make the gram more interesting. In all cases confirm your order via email first. FOR SALE I have a few items from AmAus MicroFest. These items were purchased from Mark Freehill have hours (days) of negotiating. Australian Army Pay Corps training note. This note has the following test: Royal Australian Army Pay Corps/Facsimile Currency for Training Purposes Only. The denomination is 10 (units?). The notes are lithographed on bank note paper with heavy threads. AU $35. More AmAus items tomorrow. Contact fred@papermoneyworld.net or fredschwan@yahoo.com WANTED SECTION: Collectors may submit lists of items wanted for their collections for listing here. Dealers and collectors who have these items, are then encouraged to list them for sale in the above section as a reply. Wanted listings will run for a period of 1 month. WANTED 01; =========================================== MPC Gram Staff: Publisher, editor: Fred Schwan - MPCGram@yahoo.com Subscription Manager:Doug Bell- doug@papermoneyworld.net Tuesday Columnist : JoeBoling - JoeBoling@aol.com Friday Columnis: Warner Talso: wtalso@aol.com Fest Auctioneer: Larry "Ski" Smulczenski - skifla@prodigy.net Critic:Harold Kroll - HARBONS@aol.com Scholarship Coordinator: Marcus Turner - maturner@indy.rr.com Webmaster & Technical Advisors:Doug Bell "Wiz" - doug@papermoneyworld.net Russ Walsh - russ.walsh@gte.net Fact Checker: Warner Talso -Calendar Coordinator: John & Nancy Wilson - The Boss: Judy Schwan ===== MPC Gram is published by BNR Press and papermoneyworld.com as a free service to the community of military money collectors. Your suggestions, criticisms, complaints, editorial contributions, letters, and even praise are very welcome. The entire contents including linked illustrations are copyright protected by the publishers. In the case of contributors, the copyright is protected on behalf of the creators. Please send all correspondence regarding the gram to MPCgram@yahoo.com. Thank you very much for your participation. __________________________________ Do you Yahoo!? Yahoo! SiteBuilder - Free, easy-to-use web site design software http://sitebuilder.yahoo.com