Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: ml/nj

What?!


31 posted on 11/28/2006 1:54:35 PM PST by jveritas (Support The Commander in Chief in Times of War)
[ Post Reply | Private Reply | To 29 | View Replies ]


To: jveritas
What?!

Did you ever look at the Constitution of the United States? It uses the word "dollar" just as it uses the word "year." Neither are defined because everyone in the late 18th Century English speaking world understood what these words meant. A "dollar" was a Spanish silver coin. One of the first act of the Congress was the Coinage Act of 1792 where an American Dollar was defined. In doing this Congress collected a whole bunch of Spanish dollars, and determined that on average each contained 371.25 grains of fine silver. Congress then defined an American dollar as this same 371.25 grains of silver. I don't believe this has ever changed.

Maybe you've heard about gold, but gold was always denominated in "Eagles" with one eagle being set equivalent to ten dollars. From time to time people (like William Jennings Bryant) argued about how much gold should be in an eagle, but the dollar remained as it was.

It is amusing to research the history of the Art I, Sect 10 Clause 2 of the US Constitution: "No State shall make any Think other than Gold and Silver a Tender in payment of Debts." Madison, in the Federalist Papers says the clause was included to "protect the people from the pestilent effects of paper money."

FTR, Federal Reserve Notes are denominated in dollars. They are not dollars.

ML/NJ

106 posted on 11/28/2006 2:20:36 PM PST by ml/nj
[ Post Reply | Private Reply | To 31 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson