Chairman
"Entering the period of the Ri Dynasty, the commodity-money relationship in our country made much ahead along the path of its development in spite of the obstacles owing to the commercial deterrence policy of the feudal government."
During his revolutionary activities at
Among the problems solved by him in s scientific and theoretical way is the issue of the historical course of the progress in commodity-money relations in Korea.
On July 21, Juche 50(1961), Chairman
In the past, the issue of the origin and development of commodity-money relations in Korea was explained by the data of the Western capitalist countries, which explained the development of commodity production and exchange with the main emphasis on the stock-breeding tribe, and as a general equivalent, the sheep was taken as an example.
This made it impossible to correctly understand the law-governed process of the origin and development of commodity-money relations in Korea.
Having seen through this shortcoming, the Chairman elucidated the historical course of the development of commodity-money relations in the country with concrete and detailed historical facts.
First, he said that the exchange relations in Korea were formed and developed in the late primitive community.
At that time, the natural and geographical conditions in which people lived were different, which caused social division of labor, thus resulting in the exchange among people.
In Onsong County, North Hamgyong Province, there were several sites and tombs in the mid and upper streams of Tuman River, including the Sunam site in Kangan-ri, the Odong site in Hoeryong City, and the Palaeolithic relics in Musan County, where walleye pollack bones and scallop shells were unearthed, and a discoid stone product called "stone money" was discovered at the site of Sinhung-dong in Pongsan County, North Hwanghae Province. This shows that there was an exchange of products among people whose occupations were different.
Second, he clarified that the exchange relations of products appeared in the late primitive community further developed in the period of the ancient state that had turned into the slave society.
The development of exchange relations in ancient times can be seen from the article 8 of "Violation of Bans", the law of Ancient Korea, which stipulates that a person who has stolen other's property has to be made the slave of that family and he must pay 500,000,000 won to be freed from it.
Third, he pointed out each period when the commodity-money relations were further expanded and developed as the slave society switched to the feudal society.
He said that the commodity-money relations rapidly expanded and developed with the progress in the peasants' household and professional handicrafts as well as the government-run handicrafts in the period of the Three Kingdoms.
The development of commodity-money relations in the Three Kingdoms can be found in the formation of markets.
The historical story that the Phyonggang, the princess of Koguryo got married to Ondal and sold her gold bracelets to buy him a variety of goods, including an horse, and "Jongubsa", the song of Paekje, which portrays the feeling of attachment for her husband who went on a peddling tour show that the commodity circulation through markets was on a high tide.
In the course of this, rice and cloth were fixed as general equivalent and some metal coins were also circulated in Koguryo.
Chairman
The period of Koryo is of special importance in the development of commodity-money relations in Korea.
Owing to the commercial promotion policy of Koryo, the feudal state, government-run and private trade greatly developed in Kaesong, the capital city, Pyongyang and some other cities, which had been made through long-term trade, peddlers and bumboatmen.
In particular, the period of Koryo was the times when the might of Korea and the resourcefulness of the nation were greatly demonstrated internationally through foreign trade. Koryo traded not only with neighboring countries but also with the dealers of Arabia. With the expansion of foreign relations and the development of trade, the name of Koryo gradually became well known to the world, hence the name Korea was derived from it.
In the period of Koryo, various kinds of metal currency including coins of the Sam Han period, the Haedong period, and the Tongguk period, were minted and circulated in addition to the goods which were used as spot currency, such as rice and cloth, through the course of which commodity monetary relations further developed.
The Chairman said that in the period of the Joson feudal dynasty, the commodity-money relations faced various obstacles due to the feudal government's policy of commercial deterrence but made much ahead along the path of its development.
Since the 17th century, it has been expanded unprecedentedly on the basis of the development of the agriculture and handicrafts. In the agricultural sector, with the cultivation of cereal crops, the production of industrial crops, such as tobacco and insam, vegetables and fruit were greatly increased to rapidly develop the commercial agriculture and the production of small commodities was expanded in the field of handicrafts, thus actively promoting commodity circulation.
With the expansion of commodity production and commodity circulation in the period of the feudal Joson dynasty, markets were spread beyond cities to all parts of the country, and thus, commercial centres appeared and domestic markets became more active.
The rapid growth of commodity production and circulation was closely related to the development of monetary circulation.
As "Sangphyongtongbo" was minted after the 17th century and developed as unified metal currency, metal currency that had been circulated in Korea from the early days with the goods which were used as spot currency in Korea became circulated on a nationwide scale without interruption.
The circulation of unified metal currency across the country, along with the growth of commodity circulation, dissolved the self-sufficient natural economy and accelerated the development of capitalist economic relations.
Chairman
It was 1886 that a modern coin of precious metals was minted in Korea for the first time, but it was not circulated. Establishing the modern monetary system was also envisaged in the Kabo reform carried out by the progressive bureaucrats, which was the "Rules and Regulations of Modern Currency Issue"
"Rules and Regulations of Modern Currency Issue" proclaimed the silver standard and instituted a new coin issue by law. It had some immaturity, but laid the foundation for the modern monetary system in Korea.
However, the modern monetary system failed to take the road of its own development due to the aggressive interference of foreign imperialists, including Japan.
As seen above, Chairman
