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American History A Revolution in the Colonies

American History A Revolution in the Colonies

American History A Revolution in the Colonies

Colonial currency[ edit ] There were three general types of money in the Colonies of British America : the specie coinsprinted paper money and trade-based commodity money. Commodities such as tobaccobeaver skins, and wampumserved as money at various times in many locations. All colonial pounds were of less value than the British, pound sterling.

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Inthe Province of Massachusetts Bay created "the first authorized paper money issued by any government in the Western World ". Other colonies followed the example of Massachusetts Bay by issuing their own paper currency in subsequent military conflicts.

American History A Revolution in the Colonies

Bills of credit were usually fiat money : they could not be exchanged for a fixed amount of gold or silver coins upon demand. The governments would then retire the currency by accepting the bills for payment of taxes. When colonial governments issued too many bills of https://modernalternativemama.com/wp-content/custom/personal-statement/stewardship-and-organizational.php or failed to tax them out of circulation, inflation resulted.

American History A Revolution in the Colonies

This happened especially in New England and the southern colonies, which, unlike the Middle Colonieswere frequently at war. The British Parliament passed several Currency Acts to regulate the paper money issued by the colonies.

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The Act of restricted the issue of paper money in New England. It allowed the existing bills to be used as legal tender for public debts i.

American History A Revolution in the Colonies

Another Currency Act, inextended the restrictions to the colonies south of New England. Unlike the earlier act, this act did not prohibit the colonies in question from issuing paper money but it forbade them to designate their currency as legal tender for public or private debts.

American History A Revolution in the Colonies

That prohibition created tension between the colonies and the mother country and has sometimes been seen as a contributing https://modernalternativemama.com/wp-content/custom/argumentative-essay/walter-white-transformation.php in the coming of the American Revolution. After much lobbying, Parliament amended the act inpermitting the colonies to issue paper currency as legal tender for public debts.

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When the American Revolutionary War began inall of the rebel colonies, soon to be independent states, issued paper money to pay for military expenses. Examples were selected based on the notability of the signers, followed by issue date and condition. The initial selection criteria for notability was drawn from a list [8] of currency signers who were also known to have signed the United States Declaration of IndependenceArticles of Confederationthe United States Constitutionor attended the Stamp Act Congress.]

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