ECONOMIC CONDITIONS 295
The most important commodity from the fiscal point of view was salt. The
center of salt production was in Shantung, mostly the production and market-
ing centers that had already flourished under the T'ang. There were also some
salt pools and lakes in Manchuria and Mongolia that produced salt for local
consumption, but even their small yields had already been taxed under the
Liao.
Salt production was extended when the Jurchen forces conquered the
Chinese Central Plains, and new monopoly offices had to be established.
Altogether seven administrations controlled the production and distribution
of salt; those in Shantung brought in the greatest profit. Salt was sold only
against vouchers (for large quantities) and tickets (for smaller quantities),
which had to be officially endorsed. The weight measures (cases and bags)
differed by region. We have some figures on the retail price of salt: It varied
between thirty and forty-three copper cash per Chinese pound {chin). With
this we may compare the price for one tou (approximately six liters) of rice in
approximately the same period (around 1180): three hundred copper cash. In
other words, if measured by weight, salt was almost as expensive as rice.
47
Retail trade was sometimes in the hands of local tycoons who made a
business out of monopolizing the local market, to the detriment of small
shopkeepers and peddlars. This was made possible because the salt vouchers
and tickets were transferable instruments like bank checks or paper money
and were not personalized or rationed. But despite these encroachments by
private money-makers, the government made an enormous profit from the
salt monopoly. The annual proceeds from salt were fixed by a quota system
that regulated production and sales figures and furnished the biggest item of
money income in the national budget. The annual quota before 1198 had
been not less than 6,226,636 kuan, or strings of a thousand cash. This was
later raised to 10,774,512 kuan, a sum that accounted for almost half of the
money revenue.
Another commodity produced in government shops was wine. A wine
monopoly was introduced by former Sung officials along with other fiscal
institutions in 1125. Private wine production was prohibited, just as private
salt production and trading was. The wine monopoly also followed the quota
or, rather, target system, but the few figures in our sources show that the
proceeds from wine were far below those from salt. The chief monopoly office
was in the Central Capital, Peking; it yielded only a few hundred thousand
47 There is little information on retail prices under the Chin dynasty. Only some scattered data on prices
can be found; for example, some prices are given in Lou Yao's (1137—1213) description of a Sung
embassy to the Chin in 1169—70, the
Pei
hsingjih lu (TSCC ed.). In a Chin prefecture! town near the
border, Lou Yao had to pay 210 cash for one pound of wheat flour, 120 cash for one peck
(tou)
of millet
or some other grain, and 240 cash for one peck of rice (Pei hsingjih lu, shang, p. 12b). For one bolt of
good silk, the price was 2,500 cash in Hopei; for one ounce of floss silk, 150 cash. Horses were even
more expensive than a first-class donkey, which cost 40,000 cash (Pei hsingjih lu, hsia, p. 8b).
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