Posted 09/28/2010 7:40 pm
The 1923 red seal is a United States Note, and the redemption statement under Washington's portrait reads:
"Will pay to the bearer on demand ONE DOLLAR".
This means that there is no guarantee of what type of dollar that will consist of, it could be a dollar's worth of change (ten dimes, two quarters and ten nickles, 100 pennies, a silver certificate, a silver dollar, etc, etc.).
The backing clause over the red seal is as follows:
"This note is legal tender at its face value for all debts public and private except duties on imports and interest on the public debt".
The 1923 blue seal is a silver certificate, and the redemption statement under Washington's portrait reads:
"ONE SILVER DOLLAR payable to the bearer on demand"
This means that a silver dollar (Morgan or Peace) is guaranteed as redemption for this certificate. (No pennies, no nickles, dimes or quarters or halves). One "silver dollar". (A silver dollar holds more silver content weight than a combination of change).
The backing clause over the blue seal is as follows:
"This certificate is receivable for all public dues and when so received may be reissued".
Silver certificates were backed by silver dollars until 1934 when they became backed by this redemption statement under Washington's prtrait:
"ONE DOLLAR payable in silver to the bearer on demand". This equates to any combination of dimes, quarters, or halves....(maybe even a silver dollar, although there is no longer any guarantee of that).
United States Notes were not backed by anything other than faith and confidence that the money was good. An act of Congress in 1879 limited the dollar amount of USN to $346 million.
Silver Certificates were issued without limits as long as there was one silver dollar in the Treasury to back up that certificate.
United States Notes were not issued in the same manner as silver certificates either. In many instances, the number of notes printed did not equal the number of notes that actually circulated. hey were often held in reserve for times of contingency.
For example, the 1928 $1 USN was printed in the quantity of 1,880,012 notes, but only 5000 of them were released to circulation in 1933 on Washington by blunder, and the rest in 1948-1949 in Puerto Rico.
The 1966 $100 USN star notes and all of the 1966A $100 USN notes were printed in the combined quantity of 640,000 notes. Only a very small number of each were released for circulation though, and the balance remained in the U.S. Treasury until 1996 when it was announced that they had all been destroyed.
I just reread your question.....I didn't answer it did I?
Okay, the USN were 'extra dollars' pumped into the economy backed on nothing but faith in the dollar. This was an efficient way of 'growing' the economy as well as the government.
"Will pay to the bearer on demand ONE DOLLAR".
This means that there is no guarantee of what type of dollar that will consist of, it could be a dollar's worth of change (ten dimes, two quarters and ten nickles, 100 pennies, a silver certificate, a silver dollar, etc, etc.).
The backing clause over the red seal is as follows:
"This note is legal tender at its face value for all debts public and private except duties on imports and interest on the public debt".
The 1923 blue seal is a silver certificate, and the redemption statement under Washington's portrait reads:
"ONE SILVER DOLLAR payable to the bearer on demand"
This means that a silver dollar (Morgan or Peace) is guaranteed as redemption for this certificate. (No pennies, no nickles, dimes or quarters or halves). One "silver dollar". (A silver dollar holds more silver content weight than a combination of change).
The backing clause over the blue seal is as follows:
"This certificate is receivable for all public dues and when so received may be reissued".
Silver certificates were backed by silver dollars until 1934 when they became backed by this redemption statement under Washington's prtrait:
"ONE DOLLAR payable in silver to the bearer on demand". This equates to any combination of dimes, quarters, or halves....(maybe even a silver dollar, although there is no longer any guarantee of that).
United States Notes were not backed by anything other than faith and confidence that the money was good. An act of Congress in 1879 limited the dollar amount of USN to $346 million.
Silver Certificates were issued without limits as long as there was one silver dollar in the Treasury to back up that certificate.
United States Notes were not issued in the same manner as silver certificates either. In many instances, the number of notes printed did not equal the number of notes that actually circulated. hey were often held in reserve for times of contingency.
For example, the 1928 $1 USN was printed in the quantity of 1,880,012 notes, but only 5000 of them were released to circulation in 1933 on Washington by blunder, and the rest in 1948-1949 in Puerto Rico.
The 1966 $100 USN star notes and all of the 1966A $100 USN notes were printed in the combined quantity of 640,000 notes. Only a very small number of each were released for circulation though, and the balance remained in the U.S. Treasury until 1996 when it was announced that they had all been destroyed.
I just reread your question.....I didn't answer it did I?
Okay, the USN were 'extra dollars' pumped into the economy backed on nothing but faith in the dollar. This was an efficient way of 'growing' the economy as well as the government.
