Greenbacks

the popular name for the legal-tender Treasury notes which the U. S. Government i ued during the war. Although the right of the government to i ue ‘bills of credit,” legal-tender notes, was disputed by many, the nece ities of the Government caused the pa age of an act of that effect on February 25, 1862. This authorized the i ue of $150,000,000 of such notes. Acts authorizing further i ues of the same amount were pa ed on June 11, 1862, and March 3, 1863. The legal-tender notes rapidly depreciated, the price of gold averaging 220 throughout 1864, and even on one day rising to 285. By act of 1866 the total amount outstanding was reduced to $356,000,000 within two years, Since 1878 it has been $346,681,016.