MONETARY HISTORY CALENDAR - February 7-13

FEBRUARY 7

1870 - HEPBURN V GRISWOLD US SUPREME COURT DECISION
The Court declared that certain parts of the passed Congressional Legal Tender acts in the 1860’s were unconstitutional. The Legal Tender acts authorized the government to issue paper money, “Greenbacks,” and recognized them as legal to meet financial obligations. The Court concluded, however, that a party to a contract could not use paper money as payment for a debt if the contract stipulated gold or silver as payment. The Court explained how the US Congress possessed the power to coin money, but that that power was different than the power to made paper money legal.


FEBRUARY 11

1847 – BIRTH OF THOMAS EDISON
“Gold and money are separate things…Gold is the trick mechanism by which you can control money…that is the root of all evil.”

2004 – RON PAUL, US CONGRESSMAN, SPEAKING TO THE HOUSE FINANCIAL SERVICES COMMITTEE
He referred to the Federal Reserve by stating "maybe there's too much power in the hands of those who control monetary policy? The power to create the financial bubbles. The power to maybe bring the bubble about. The power to change the value of the stock market within minutes. That to me is just an ominous power and challenges the whole concept of freedom and liberty and sound money."

FEBRUARY 12

1791 – BIRTH OF PETER COOPER, US INDUSTRIALIST, PHILANTHROPIST (FOUNDED COOPER UNION) AND GREENBACK CANDIDATE FOR PRESIDENT
"The bankers will favor a course of special legislation to increase their power - they will never cease to ask for more so long as there is more to be wrung from the toiling masses of the American people.”

1809 – BIRTH OF ABRAHAM LINCOLN, PRESIDENT OF THE UNITED STATES
“The money power preys upon the nation in times of peace and conspires against it in times of adversity. It is more despotic than monarchy, more insolent than autocracy, more selfish than bureaucracy.”

Under Lincoln’s administration, the US Government issued 450 million “Greenbacks” – interest and inflation free money. They weren’t government bill, bonds or any other debt-bearing note. They were actual US money.
“The privilege of creating and issuing money is not only the supreme prerogative of government, but it is the government’s greatest creative opportunity. The financing of all public enterprise, and the conduct of the treasury will become matters of practical administration. Money will cease to be master and will then become servant of humanity.”

1873 – COINAGE ACT PASSED BY CONGRESS (THE “CRIME OF ‘73”)
The Coinage Act removed silver as a form of currency (“demonetized) – leaving gold as the major form of US currency. The public didn’t realize at first what happened. With silver no longer convertible to money, the overall volume of currency dramatically declined, causing the prices farmers received for their produce to drop (deflation) but the cost of their debts to rise. Thousands of farmers lost their land. Those who held silver also suffered. This was one of the sparks of the farmer-led US Populist movement. It’s also a lesson on the perils of linking the issuance of money to the supply of gold.

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Why this calendar? Many people have questions about the root causes of our economic problems. Some questions involve money, banks and debt. How is money created? Why do banks control its quantity? How has the money system been used to liberate (not often) and oppress (most often) us? And how can the money system be “democratized” to rebuild our economy and society, create jobs and reduce debt?

Our goal is to inform, intrigue and inspire through bite size weekly postings listing important events and quotes from prominent individuals (both past and present) on money, banking and how the money system can help people and the planet. We hope the sharing of bits of buried history will illuminate monetary and banking issues and empower you with others to create real economic and political justice.

This calendar is a project of the Northeast Ohio American Friends Service Committee. Adele Looney, Phyllis Titus, Donna Schall, Leah Davis, Alice Francini and Greg Coleridge helped in its development.

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