The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1870-11-19

the least curious ana teresting. Ths Is printed
and lasteiuly embelliShed on the top with basket
ana flowers. Tne SIDES Tiled in with pillars, and
at The bottom IS The arms OF The colony. rnc body
of the note contains the following, IN rather snaky
print:-
rI,is one
BIZ due from the ooiSuy g. Rhode Bland ac to yes
ga any ime ia The Treasury.
Srwroar' Angst ye I'd, iIss !, .,
/. GENERAL ASSEMBLY,.
There are also bills Of March 49, 1885, OF tile colony
or Rhode Island. wllch call Tor Zone ounce ana rive
Pennyweignts OF coined silver Of slerllng Alloy"
equal 10 ti hut THESE are more elaborate IN design
and Dnlsn, but poor specimens OF printing Beyond
the ad uon OF coat or arnis-presunaDly that OF
the coony-an Anchor on Il white shield, and the
motto Sperd1nus IA re Domino, there Is nothing in
the engraving to oner the east dnlculy 10 modern
counLerletcr In TACT no precautions OF all appear
To nave been taken al the Time TO prevent imitation
OF the engraving or printing beyond the threat
which tie pniosopnlc Franklin printed IN mis- notes
OF the pennsylvania issue OF paper money.
There was
NO NEW ISSUE or PAPER MONEY
in the colonies from l749 10 1855 when The colonsts
having contracted debt OF ten millions To assist
tne En4llsn Ia tner struggle with the French found
themselves laboring under immense difficulties.
There was but little spec.e in the country, and that
soon found it, way 10 England. Thus IL wa, That IN
1859 almost every province issued us own paper cur
reney. Tue Penn5J wanna money was OF the denom-
inahon OF crown piece ten. niteen aud twenty shi-
Ing Bills, aud issued In Plnladelphla from Le
that OF his partner in business Or tia, was on the
back OF EACH ih3 engraving but Slight i'm
proyement on the nr tspecinens OF the paper money
Issued by thecoonista. Perhgps the Doctor did not
give much or his Time To tile business having 10
attend to his public duties as POSTMASTER General.
Some progress N the art Of bank note engraving
anu pruning made IN 1860. In that year ..hye
pound noLesn were Issued In Pennsylvania, which
were printed partly IN red aud pa Il, IN black lax;
and In. ee years later In New Jersey bills were
printed wholly In black or ia red Ink. These latter
passed current Tor zone ounce fifteen pennywelghts
OF plate" It's representative value being twelve 5hI-
hngs.
COLONIAL sHINPLAsTERs.
From the year 1857 TO the year no there was moro
paper money In circulation from the colony OF Mary
land rnan from any other Thls paper was redeem.
abe IN London at the rate OF four snilings ana six
pence per dollar. The bills bore tne arms OF the
colony, with the motto, ''cjeSctte 20 fcantinl."
There also ut tins period large amount OF bus
III circulation In Pennsylvania and the adjoining
provinces. The old form of issuing notes Tor dol
lars and the fractional parts OF dollars was partly
abandoned In l774, and the notes for shlllingS
hostiliiles between the patriots and the English
troops there wete no ISSUES OF paper money worthy
OF special reference.
THE VIRTUE OF PAPER MoNHY
1t has been well sad that paper money has
usually proved q good servant but bad master.
The history Of the financial struggles OF the Revo-
tionary Congress and government demonstrated the
truth or THAI axiom. The hnanclai experiment OF
that day was not eminently successfully neither was
1t wholly failure History declares tnat the Qlorl-
GUS result OF the war for national independence
largely due to the continental money. Tnl5 money
measure Of absolute necessity. From taxation no
funds could be raised for trade aud commerce was
PROSTATE, and the country was Impoverished.
There was no expcdient but TO borrow Congress
had % constitute Itself q bank oil circulation, and
emit bills OF credit such as IN times OF financial pres
sue the individual colonies had been accustomed
10 emit m,ea amounts. There was violent opposi-
ton to this course, opposition no less bitter Than
that Of the copperhead congressman to the financial
measures OF the 1862 Congress. Opposition, however,
was frultless The necessary measures pisse /,
ahd the new currency, which was soon named the
continental Money! was welcomed by the people,
and became decided success 1t was authorized
and guaranteed by the Congress reorescnUng the
was waged puec confidence the ability OF the
nation 10 redeem this money was never shaken.
dred and lhirty-dve millions OF dollars. Of whch
neariy oneioufln was raised by "contlncntai paper
money.
THE FIRST ISSUE
was on the Esd Of June, 1915, the amount being two
millions OF duars--aboat the average amount Of
one days expenses our war for the Union. 1t
have proper basis; bur, OWING to the TACT tnat the
country was Empower sned ana utterly unable to
bear the burden OF further GaxatfOn Congress
found itself III dilemma. Relying on the patriotism
Of the people, however.
which met the difficulty IL gave an explicit
guarantee that taxes suuicent.Io redeem the notes
should be and on the Conclusion OF the war. rhe
pubic hailed the announcement Of tne resolve or
Congress win dc. lght, ana the paper when issued
was found TO be eAcnangeable freely at les nominal
value lor god and silver com. When, therefore, at
q later perlod--Noyember OF the same ycar-it was
found necessary 10 risk another issue OF paper
money, three millions were emitted With equal sue
cess Gold and silver, II Is true, was boarded, and
went out OF circulation, bur, Notwithstanding this,
paper money Continued 10 be received by the people
at Us par vaue. No depreciation Whatever had
,aNeI place. soon, however, the treasury again be-
came empty, aud new crslS appeared. The slnews
OF war had to be provided IN tue presence OF extra
ordinary dltcultles. The pablo revenues Tor twenty
years wele already mortgage ana u Were mere
farce to promise taxation. Alter considerable delay
Congress rsaed the further Issue OF fonr mill ons,
and taxing advantage OF the buoyant public iccng
on the declaration OF the Independence OF the United
States, on Tic 4th Of july 1916 issued i've millions
more, making the aggregate Of paper money III cir-
culation louiteen i.iions on dollars
succession OF ieyefses 10 Cnr armies how
ever soon shook pubic confidence. Nor did sub.
sequent successes restore 1t. On the 20tn OF NAV,
1777, Congress determined TO issue i've millions more
OF paper money but t only brought to the Treasury
Sl371.2,3 III specie. Depreciation had Laid It's haad
on the currency and REUSED 70 reIcaselt.
CONGRESS BECAME ALARMED,
and In September. l779 determined tnat the amount
alleat should not exceed at any time, two hundred
millions OF dollars, 10 which sum they had then
nearly arrived. Twenty dollars OF this per money
at that time bought no more army provisions than
one SILVER dollar An address TO the people was pre-.
pared renewing the promise or redemption by tax
alton, on the cuson OF the war, which ras made
when the. first two iii0ns Of paper money was
issued but IL lalled OF its purpose In The borrowing
year the Continental money mad fallen TIL fo ty dol.
lars were only worth one dollar in Under these
circumstances the position Of Congress was en-
passed requiring all the Continental bills
TO be brought in at their value,
Ol forty LOT one, ana tnaL new DIS, equivalent
golu and SILVER, given In exchange 1t was hupeI
by thus measure u reduce the circulation to lye
millions, sum which 1t was thought would not lead
10 uepreciato-. TINS 100 TAXED It's purpose. The
paper money continued TO appreciate till the end OF
1853, when IL mad fallen 10 seventy five for one. The
paper soon became almost useless, falling to 600
TO one. 10 went out OF existence a few years iarer
The following table contains the onicial statement
laid Dcore Congress OF the various issues with their
respective values in spanish dollars at the time OF
emission. Tue thru COLUMN gives the number OF
paper dollars which were equivalent to ono dollar
specie
TABLE OF THE AMOUNT OF CONTINENTAL MONEY
ISSUED DURING TIE WAR OF ISDEpESDEsCE WITH
TIE RATE OF IT'S DEPRECIATION AND The SPECIE
VALUE OF EACH ISSUE.
Oats Of Ne. ofpapr
issue. Total amount ~ Goldss san,ralsnt Total pofs
1875. palsr issued Il ST. Spa,,ah IN s,ue~i,
june 2........... $2,GGgoo u 20 $2,GJ00u0
Noy 29.......... 5,oWbVUJ w y,vJJ,U0v
if76.
Feb. 1......... 4,no000 Loo 100000
Aug B........ 5,0vV,UVo " b.ruv,0vU