249 



been imported, the credit of the bills was well sustained; and, in or- 

 der to avoid interruption in striking them off, the printers were ex- 

 cused from military duty. 



The press was now in permanent operation, and the sums emitted 

 so large, that public confidence began to diminish, while ruinous 

 fluctuations in the prices of every commodity took place. Upon this, 

 congress gave new assurance of their intention to redeem every dol- 

 lar; and availing themselves of the good effect of this promise, they 

 issued this year (1776) in loan office certificates, lottery tickets and 

 bills of credit, about twenty millions. Yet, fearful of a renewed de- 

 preciation, they authorized General Washington to take whatever he 

 might want for the use of the army, whenever the inhabitants refused 

 to sell, and to imprison and report the names of all those who reject- 

 ed the continental currency. These harsh measures did not, however, 

 strengthen the credit of the bills; and congress passed, in the begin- 

 ning of 1777, vehement resolutions of accusation against the enemies 

 of liberty, for impairing their credit, by raising the nominal value of 

 gold and silver. The states were exhorted to pass laws to compel 

 every one, under the penalty of forfeiture of goods, &c. to take them 

 at specie value ; to make them a tender in payment of debts ; and 

 the refusal to receive them an extinguishment of svch debts. 



About twenty-one millions had been raised in 1777, on loan and 

 bills, when, on the 3d of December of that year, congress found 

 themselves obliged to acknowledge that the quantity issued was too 

 great. 



A pause was resolved upon, and recourse had to France for a loan 

 of two millions sterling. Meantime, the British at New York, and 

 others elsewhere, counterfeited extensively ; provisions and merchan- 

 dise increased manifoldly in price, and the current money fell to four 

 for one. Much of this unsteadiness was ascribed by congress " to a 

 spirit of sharping and extortion." 



In the year 1778, the press was again in full operation, and sixty- 

 three millions were issued, at three and four for one; for, abused as 

 this prolific source had been, and continued to be, it seemed to offer 

 greater advantages than any other of the various means that congress 

 had tried. Very little hard money circulated ; for, while this large 

 sum in paper Avas paid out in the single year of 1778, only seventy- 

 eight thousand dollars in specie passed through the treasury. 



Taxes were recommended as a sinking fund ; but the credit of the 



