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It is forbidden to be engaged in hypothecary business and to consider bills for more than three
- has been created from the former Prussian Bank transformed to the private
Concern. However, it has saved the official administration, and still
Neglected the control over the activity from outside shareholders and,
Hence, possessed much smaller independence of the government, than
Bank of England. Activity of Rejhsbanka has been limited by a number of directions:
Conducting credit and pawn business was regulated by it in same degree,
As for private banks, and reception of percentage contributions was resolved only to
The limit defined by the law. Banknotes of Rejhsbanka have not been recognised by lawful
Instrument of payment though had much more extensive, than banknotes of the private
Banks, circulation sphere. It spoke that, while private bank
Could not accept a banknote of any other private bank, except cases,
When payment has been addressed the emitter of these banknotes or in region
The emitter, bills of Rejhsbanka were paid by bank-addressee without everyones
It was authorised to private banks of issue, and to abstain from observance
Law positions, but in this case the bank has been obliged to limit the operations
Borders of that state which has given it the issue rights.
The law has provided Rejhsbanku position of the central bank in its modern
The chapter VII. Theoretical discussions in England and America during the period till 1848
In spite of the fact that the origin discussion about the free bank
Business it is obliged England, never in this country it reached such scope,
As in continental Europe. Probably, it became a consequence much bigger
Freedom inherent in England. This freedom has defined higher, in comparison with
France and Germany, rates of development of English bank sphere, having made less
Sharp necessity for reforms. Besides, by that moment, when a policy
laisser-faire Has openly opposed itself to domination of the exclusive
Monopolies, the Bank of England and the system which has developed round it, became already
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