The Second Continental Congress passes the Redemption Act, halting the issuance of Continental currency notes (Bills of Credit), after 241,500,000 “dollars” worth of them had been printed in the previous three years. Originally intended to trade at par value (one-to-one) with the Spanish Milled (silver) Dollar, so many “Continentals” were printed that the exchange rate had fallen to 40 notes per SMD—an annualized inflation rate of 13%. And it is at the market rate that they will be redeemed, not one-to-one as statutorily promised.
Postscript: A year later the value of Continental notes against the SMD had fallen to an exchange rate of 168 to one, giving rise to the expression, “Not worth a Continental.”
[added 8/7/2021]
Subsequent Events:
Authority:
Magna Carta, Chapter 35
avalon.law.yale.edu/medieval/magframe.asp
References:
Jack Weatherford, The History of Money: From Sandstone to Cyberspace, (New York: Three Rivers Press, 1997), 135-36.
The Revolution’s Paper Money Legacy | Strike-The-Root A Journal Of Liberty.mht
www.strike-the-root.com/82/smith/smith1.html
a href=-ammem-amlaw-lwjc_htmlJournals of the Continental Congress-a –MONDAY, MARCH 20, 1780.mht
memory.loc.gov/cgi-bin/query/D?hlaw:51:./temp/~ammem_JgrD::
Hyperinflation History The Continental—DollarCollapse.com.mht
www.dollarcollapse.com/hyperinflation-history-the-continental/
Continental Currency.mht
www.coins.nd.edu/ColCurrency/CurrencyText/CC.html
Current U.s. National Debt:
