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Comment: Know any good sources?
Know any good sources?
I understand that a disconnect between the market price of gold and the official US$ price of gold started Dec 30, 1861 when NY banks suspended redemption of paper for gold (and this disconnect didn't go away until 1879). I'm having some difficulty finding good data on the size of that disconnect over time though.
And this is an interesting case of "printing". Part of the disconnect was probably war speculation, but a significant component was likely due to the amount of US (non-greenback) paper (mainly bank notes I think) staying essentially constant while Lincoln sold significant quantities of gold to the UK to fund his war. That devalued the paper notes just as surely as printing new ones would.
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