“Free Silver”
A Milestone Documents E-text
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Abstract

One of the central concerns of American reformers in the late nineteenth century was the health of the economy. Economic growth depended upon an ample monetary supply, which was just beginning to be regularized following the Civil War. During the war, the U.S. government had printed a paper currency to meet its financial obligations, which came to be known as greenbacks (because the bills were green). This emergency money supply was not based on the gold standard and was more like a government bond, which would be redeemed on January 1, 1879. By that time, the United States was well on its way toward restoring the gold standard, but this worried some Americans. If deflation continued, then money would become more valuable but debts would also increase in value. To counter this effect, American farmers and Republicans proposed that the government create currency backed with silver, not just gold.

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