Comment: You MisRead or Perhaps Misinterpret

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You MisRead or Perhaps Misinterpret

The paper money was NOT a Treasury bond. The paper money was a Continental dollar. Continentals experienced extraordinary inflation as your source cites. This is why I suggested only Treasuries experienced little inflation - if memory serves they were payable in bullion.

Feel free to challenge me on the facts if you have knowledge or a source to the contrary - I admit I'm going on memory. But if memory serves Treasuries were payable in bullion until the 20th century. Nixon's default on gold obligations changed that - although I would argue FDR confiscating gold and then devaluing the currency he paid for the gold was a default as well.