History of Russia deficit required borrowing, primarily from Amsterdam; five percent of the budget was allocated to debt payments. Paper money was issued to pay for expensive wars, thus causing inflation. For its spending, Russia obtained a large and glorious army, a very large and complex bureaucracy, and a splendid court that rivaled Paris and London. However, the government was living far beyond its means, and 18th-century Russia remained "a poor, backward, overwhelmingly agricultural, and illiterate country." Peter I was succeeded by his second wife, Catherine I (1725–1727), who was merely a figurehead for a powerful group of high officials, then by his
Catherine Alekseyevna of Russia Catherine Alekseyevna of Russia Tsarevna Catherine Alekseyevna (; 27 November 1658 - 1 May 1718) was the fifth daughter of Tsar Alexis of Russia and Maria Miloslavskaya, sister of Tsar Feodor III of Russia and Tsar Ivan V of Russia and half-sister of Tsar Peter the Great. Catherine was named after Saint Catherine of Alexandria. In accordance with the Muscovite custom for imperial princesses, she lived in seclusion and never married. During the Moscow uprising of 1682, however, Ivan Andreyevich Khovansky (Tararui) is alleged to have planned to marry Catherine to his son Andrey Ivanovich Khovanskii in order to place