Читать книгу Readings in Money and Banking - Chester Arthur Phillips - Страница 33

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Depreciation of the greenbacks occurred at once and the value of gold as expressed in greenbacks was subject to almost constant change. During the year 1862 the premium varied from 2 to 32; in 1863 from 25 to 60; and in 1864 from 55 to 185. Among the most important political and economic factors which caused these fluctuations may be mentioned:

(1) The increase in the amount of the greenbacks. Each new issue was reflected in a rise in the premium.

(2) The condition of the treasury. The annual reports of the Secretary of the Treasury were anxiously awaited and their appearance caused a rise or fall of the premium according as the condition of the finances seemed gloomy or hopeful.

(3) Ability of the Government to borrow. The fate of a loan indicated public confidence or distrust.

(4) Changes in the officials of the treasury department. Secretary Chase's resignation, July 1, 1864, depressed the currency decidedly.

(5) War news. Every victory raised the price of currency and every defeat depressed it.

From 1862 to 1865 the premium on gold and the median of relative prices correspond so well that one cannot resist the conclusion that these changes were mainly due to a common cause, which can hardly be other than the varying esteem in which the notes of the Government that constituted the standard money of the country were held. If this conclusion be accepted, it follows that the suspension of specie payments and the legal-tender acts must be held almost entirely responsible for all the far-reaching economic disturbances following from the price upheaval which it is our task now to trace in detail.