rnments possessing sufficient energy to
enforce the collection of taxes, or to provide for their redemption,
and before the governments of Europe were sufficiently confident of
their stability to afford them aid or credit, was assigned by congress
as the principal cause of that depreciation which had taken place in
the continental currency. The United States were now, they said, under
different circumstances. Their independence was secure; their civil
governments were established and vigorous; and the spirit of their
citizens ardent for exertion. The government being thus rendered
competent to the object, it was necessary to reduce the quantity of
paper in circulation, and to appropriate funds that should ensure the
punctual redemption of the bills.

For these purposes, the several states were required to continue to
bring into the continental treasury, monthly, from February to April
inclusive, their full quotas of fifteen millions of dollars. In
complying with this requisition, one Spanish milled dollar was to be
received in lieu of forty dollars of the paper currency.

The bills so brought in were not to be reissued, but destroyed; and
other bills, not to exceed one dollar for every twenty received in
discharge of taxes, were to be emitted.

These bills were to be redeemable within six years, and were to bear
an interest of five _per centum per annum_, to be paid at the time of
their redemption in specie, or, at the election of the holder,
annually, in bills of exchange drawn by the United States on their
commissioners in Europe, at four shillings and six pence sterling for
each dollar. They were to be issued in ascertained proportions on the
funds of the several states, with a collateral security on the part of
the government, to pay the quota of any particular state, which the
events of the war might render incapable of complying with its own
engagements. The bills were to be deposited in the continental
loan-offices of the several states, and were to be signed only as the
money then in circulation should be brought in by taxes or otherwise.
After being signed, six-tenths of them were to be delivered to the
states on whose funds they were to be issued, and the remaining
four-tenths to be retained for the use of the continent.

The operation of this scheme of finance was necessarily suspended by
the same causes which suspended that for requiring specific articles.
It depended on the sanction and co-operation of