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The new Gold standard Act from 1900 repealed the brand new You.S. dollar’s historic relationship to silver and you will outlined they solely since the 23.22 grain (step one.505 g) away from okay gold (or $20.67 for each and every troy oz away from 480 cereals). Paper currency is given once more within the 1862 without having any support away from metals considering the Municipal Battle. Although not, by December 1861, the fresh Relationship government’s way to obtain specie are outstripped because of the demand for redemption and had been compelled to suspend redemption temporarily. But not, gold and silver gold coins stayed provided, resulting in the depreciation of the recently published cards because of Gresham’s law. Inside the 1869, Supreme Courtroom ruled within the Hepburn v. Griswold you to Congress couldn’t wanted financial institutions to accept You Cards, however, overturned one governing the following 12 months in the Legal tender Instances. In the 1875, Congress introduced the new Specie Percentage Resumption Act, requiring the newest Treasury to let U.S.

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