The Similarities And Differences Between The Monetary And Banking Systems

The United States Mint was created by Congress in 1792, tasked with creating and circulating official coinage. The Mint had the authority to convert any precious metals, like gold or silver, into standard coinage for anyone 's account with no charge. President George Washington and Secretary of Treasury Alexander Hamilton asked Congress to pass the Coinage Act of 1792, which established the dollar as the basic unit of money for the United States. The word “dollar” is prounounced from the German word “thaler”, which means “coin”. Because of the lack of silver and gold mines in the United States, currency from other countries was allowed to be used to buy and sell goods and services until 1857, when silver and gold mines started to generate sufficient metal. In 1863, the National Banking Act was signed by President Abraham Lincoln, making the dollar the sole currency of the United States.

Prominent American leaders and politicians have been on United States paper currency for decades. These leaders made a lasting impression in American history in a significant amount of ways. Some notable mentions are Abraham Lincoln, who’s preservation of the Union and Emancipation Proclamation remains vital to the unified nation today and Alexander Hamilton’s advocation of the revised Constitution and influence in the modern day political system. However, the Great Emancipator and the founding father of the United States have respectively been on the currency for almost a century. Currently, there are heated debates about the portrait replacement of Ulysses S, Grant with Ronald Reagan on the $50 bill. Despite the opposition, the portraits on the United States currency should be replaced because it is the time of a new generation that begs for change.

During the 1600-1700s, a typical colonial planter felt there were problems with equality under the the British government, while they simultaneously disregarded the views of slaves and indentured servants, and American Indians. Colonial planters felt exploited by the British government. The document, “The Propriety of Colonial Subordination, a British View, 1726”, stated how Britain strongly condemned the “English plantations in America” in their defiance to the Crown. In 1764, the British enforced the Currency Act taking colonial currency out of circulation as a way to stronger enforce mercantilism. This angered the planters because they feared an increase of taxes and that they would not be able to pay their loans without paper money. Colonists were

There was pushback from the Federal Government, President Grover Cleveland included, wanted to keep the money supply fixed in gold, held in the hand of the government (Doc D). Monopolization of the wealth supply was pandemic in the United States in the late

The Currency Act of 1764 restricted the colonist from printing paper money to pay off debt, the tax had to be paid for in gold and silver. Benjamin Franklin testified before Parliament saying he did not believe there was enough specie in the colonies to pay for one year of dues. Parliament did not listen and imposed the tax. The passing of the Act brought on massive public protest. Colonial consumers began to intimidate stamp distributors and would partake in a “hanging of effigy” were colonists would embarrass distributors and force them to make a public repentance.

The first Colonial currency was issued in 1690 by the Massachusetts Bay Colony, while America was under British rule. Other colonies began to issue their own paper currency, and use of the denominated in Spanish Milled Dollars, Colonial notes were also denominated in British shillings, pounds, and pence. In 1764, the British declared Colonial currency illegal. The Continental Congress in 1775 issued currency to help finance the Revolutionary War. These notes were called “Continentals,” had no value in gold or silver. The Continentals were backed by the “anticipation” of tax revenues, though easily counterfeited and without solid backing, the notes quickly became devalued. This period marked the first time that United States currency’s value was derived solely from its purchasing power, as it is today.

After the French and Indian war Americans started to sever ties with England. Americans declared independence from England when was the unfair taxation, rights being taken away, military, and religious ideas. This allowed the colonist to break away from England and declare their independence. First, one of the major factors was the taxation of the American people. George Glenville was the prime minister of England.

From George Washington, America’s first president, to Benjamin Franklin, the discoverer of electricity, America’s most esteemed and important presidents and figures grace its dollar bills. Today’s twenty-dollar bill depicts a profile of Andrew Jackson, the controversial seventh president of the United States of America. Jackson’s upbringing in a lower class western family significantly differed from the upbringing and social class of his preceding presidents resulting in new ideas and perspectives from the oval office. Many of Jackson’s decisions and policies had roots in prejudice and racism, instead of factual justification, such as the Indian Removal Act. Furthermore, Jackson, in pursuit of achieving his goals of Indian removal, neglected

In 1811, when the first bank of the United States concluded, many banknotes were distributed, but banks were not keeping enough silver and gold to collect when requested. Large number of notes were handed out with different values and collections all at the same time as a result counterfeiting was easy. Congress handled and funded the second bank of the United States in 1816 which were allowed the state bank to issue money but its amount did not authorize

The year 1754 marked the end of the great French and Indian War. This battle was was fought by the British/colonists vs. French and Indians for domination over North American soil. While the British/colonists did win, it only served to create a larger hatred of the British from the colonists. After the colonists sacrificed many lives and valuable time, the British began to tax the Americans over daily goods such as tea, paper, stamps, etc. This infuriated the colonists as they had no one to represent them in British parliament to defend them from these taxes, creating the phrase “No taxation without representation.” The British choose to ignore most of the colonists’ complaints, leading to the creation of the First Continental Congress. The

This statement is insane, because when Jackson was elected the Bank was financially stable and had control of the money supply. Jackson was opposed to the Second U.S, but he did not oppose central banking. The members of congress that were in favor of the Second U.S Bank constructed a renewal for the banks, however, it did not go through because Jackson vetoed it(Second Bank of the United States (1816-1836). Jackson deemed it correct to use gold or silver as the country’s money supply, and he found using any foreign coin that congress accepted adequate as well.

The first agent of the revolution started in 1763 with the ending of the French and Indian War in which Great Britain conquered all of France’s holdings in North America. Consequently, this resulted in large amounts of debt for the British. The British decided that raising taxes on the colonies would allow them to acquire the needed funds. Document one reads “ One of the first taxes imposed by the British parliament was commonly known as the Stamp Act. It required American colonists to pay fees for all kinds of printed documents.” The Colonists however, disagreed with this act. John Adams, a young lawyer in Massachusetts wrote a resolution protesting the new act. An excerpt from it found in document one reads: “This tax is unconstitutional. We have always understood it to be a grand and fundamental principal…that no…man should be subject to any tax which he has not given his own consent.” “If this new tax were allowed to pass without resistance, the colonists reasoned, the door would be open for far more troublesome taxation in the future.” 2

President Lincoln who is a great model of the USA, " would be ashamed to have his face on this specious specie"(Source C). Why would they put the face of a great president who did good things in the US on a piece of copper that has no value what so ever. He will feel no gratitude toward the country by repaying his hard work in a non-valuable piece of copper that should be helping but its really not. As years pass by, the economy is changing by how much money is worth by stating that, " you can't buy anything with a penny any more"(Source C). The penny was worth more back then but now you can't even buy a piece of gum with it. If the penny can't even buy a product why keep it around, its not like its being used. It can also be said that, " Two-thirds of them immediately drop out of circulation" (Source C). Meaning to say that approximately sixty-six percent of pennies disappear or just end up in a place where it will eventually be

This allowed the federal government to create a uniform currency throughout each colony and impose taxes to pay off their past war debts, in addition to their other

The colonies used paper money that could not pay the stamp tax.