of specie and goods to reach their destinations, as follows:Bologna-3, Pisa-5, Genoa and Rome-15, Venice and Naples -20, Milan—30, Sicily, Provence, and Tunis-45, Flanders-70, England and Constantinople-75, and Cyprus-90.

The days occupied by the couriers of the Florentine Mercantile and Banking houses, in travelling were as follows:-Rome and Genoa, each five to six days; Milan, Venice and Naples, ten to twelve; Paris, Bruges, and Barcelona, twenty to twenty-five ; London, Sicily and Constantinople-twenty-five to thirty.

The brokerage sanctioned by the Guild varied according to the standard value of the money employed, whether gold or silver; the average amount was from ten to fifteen per cent. Probably one of the principal causes which contributed to make Florence so prosperous was the system of loans at interest.1

In Florence it was rather a sound system of finance than a sordid love of money that influenced her commercial policy. Very early her merchants discovered that capital, borrowed at a high rate of interest, was not the readiest way to advance their operations. Speculators doubtless there were, and even "plungers," to use a modern term, who craved money for its own sake, but these men were regarded with little esteem, and their methods were not generally attractive.

At first the ecclesiastical powers opposed the lending of money at interest, and the making of profit upon a temporary loan was deemed usurious. Even to the end of the fourteenth century, "it was considered usurious for any one to make a loan, which was not drawn upon an official form, and where, in the instrument itself, it was not stated that the loan was made gratuitously." 2

Public loans were raised in the following way :-The State named certain citizens,-members of the chief Banking Companies,— with full power to find the money required, assigning to them, by way of security, taxes placed upon certain commodities entering the gates of the city-such as salt and 1 Peruzzi, p. 81. 2 Lapo Mazzei, "Lettere," vol. i. 246.

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wine; or commissions upon the rents of the shops on the Ponte Vecchio. The Companies accepted the contract, and furnished the necessary sum wholly or in part, raising the remainder among the citizens, upon certain conditions, and at a reasonable interest. Another method was adopted when it was desired to force the citizens to take up the loan,-the amount of the sum required was publicly proclaimed, and part assigned to every street in accordance with the wealth and number of the inhabitants. After the portion to be paid by each had been fixed, it was then delivered to the State Treasurer, who repaid it to the creditors when the loan expired, from the proceeds of the customs. To facilitate this the contributors were also granted a quantity of salt at 6 lire the bushel, and were allowed to sell it at the ordinary fixed rate, which was higher.

Το

The loaning of money to the State for a fixed time at a certain rate of interest, led to the creation, in 1222, of a new Government Office, which came to be known popularly under the name of "Il Monte "—" The Money-pile!" Instead of calling on the Banks for a loan, as had been usual before, the Government divided the money required for the public exchequer into portions according to the assessment of each citizen, and each was expected to contribute his full share. The rate of interest placed to the credit of each contributor in the "Monte" Books varied from three to twenty-five per cent. This Book was known as "Il Libro de' Settamilioni,"" The Book of Seven Millions,"-from the amount of the original loan.

In 1307 the credit of the Republic was staked to the Bankers, the "Calimala," and the Parte Guelfa to the amount of seven million gold florins. In the war with Arezzo, the "Guild of Bankers and Money-changers" gave the State credit for eight million gold florins, which amount was repaid by a Provvisione, or Order in Council, of the year 1307.1

The Republic was a community of Merchant-Bankers whose aim was the scientific exploiting of money. Their ingenuity and

1 Provv. xiii. 132 vo.

resourcefulness were the consequences of their systematic training in the adaptability of capital. When one expedient appeared to have gained the end in view, these wideawake capitalists were never at a loss for another.

Up to the middle of the fourteenth century the State Revenues had been raised without difficulty by customs and duties on contracts called "Gabelle." Among Provvisioni of the year 1290 is one which shows how the " Gabella" was raised, and how the different Guilds not only contributed, in their corporate capacity, but how individual members were appointed to undertake the collection. Millers and Bakers, Masters of Stone and Wood, Tailors, and Barbers, of the Contado were specially taxed; each man paying forty soldi a month, and the tax ranging over two months.1 In 1336, however, the expenses incurred in the many warlike expeditions were far and away too heavy to be met by ordinary taxation. A national debt, as we should say,--was created by forced loans, and was called “Prestanza" from præstigium— tribute.

The allocation of the amount required was quite arbitrary, but contingent upon seven separate assessments of the property of which each individual was possessed. An average was struck, which was the sum accorded to each citizen of sufficient means. Failure to pay this impost within seven days led to the delinquent's name being entered in a book which was called "il Specchio,"— "the Looking-glass," and he was subjected to fines and disqualifications.

Several registers for the "Prestanza" are preserved in the Archives of Florence. One, a paper book, in good condition, has the following entry :

"In the name of God, Amen. Hereinafter is inscribed all the money which I, Tano di Lapo della Bruna, have received for Gherardo Lanfredini, Camarlingo of the Commune of Florence, towards the impost of Fifty thousand gold florins, levied by the Commune, which has been collected by the four companies

1 Provv. ii. 117 vo.