Interesting and probably true. There were a lot of state banks and even alternative banks prior to the civil war. Corn banks, tobacco banks, even whisky banks where people deposited commodities and received payable notes in exchange. After the civil war this war debt helped facilitate centralization of backing by using the bank of New York to back stop the debt using dollars guaranteed by the government.
The stuff about alternative currencies backed by banks that issued notes is fairly common and is still in the established canon of academia:
https://youtu.be/ImtedJul6do
I'll search for the NY stuff but at a high level it has to with backpay to soldiers. Everyone knows they screwed the South. But not everyone knows that they also screwed the soldiers who fought for the North.
Interesting and probably true. There were a lot of state banks and even alternative banks prior to the civil war. Corn banks, tobacco banks, even whisky banks where people deposited commodities and received payable notes in exchange. After the civil war this war debt helped facilitate centralization of backing by using the bank of New York to back stop the debt using dollars guaranteed by the government.
Interesting.
If you find a good source for some of this history, please share it. Thanks.
The stuff about alternative currencies backed by banks that issued notes is fairly common and is still in the established canon of academia: https://youtu.be/ImtedJul6do
I'll search for the NY stuff but at a high level it has to with backpay to soldiers. Everyone knows they screwed the South. But not everyone knows that they also screwed the soldiers who fought for the North.