Paper Money - Vol. IV, No. 1 - Whole No. 13 - Winter 1965

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Paper Motel DEVOTED TO THE STUDY OF CURRENCY VOL. 4 WINTER 1965 Whole No. 13 No. 1 OFFICIAL PUBLICATION OF Society of Paper money Callector4 © 1965 by The Society of Paper Money Collectors A GUIDE BOOK OF Paimit Menet/ by Neil Shafer Here's another Whitman exclusive! A comprehensive, illustrated valua- tion catalog of Philippine regular issue currency of the Spanish, U. S. and Republican periods from 1852 to date. Neil Shafer, a specialist in this field, presents material never before published including official totals and historical data on these fascinating notes. The book is pro- fusely illustrated with excellent pho- tographs. $20° at yourhobbydealer WHITMAN PUBLISHING COMPANy,_..RACINE.WISCONSIN WORLD'S LEADING NUMISMATIC' PUBLISHERS Paper Motel VOL. 4, NO. 1 WINTER 1965 WHOLE NO. 13 PUBLISHED QUARTERLY BY THE SOCIETY OF PAPER MONEY COLLECTORS Editor Barbara R. Mueller. 523 E. Linden Dr.. Jefferson. Wis. Assistant Editor Fred R. Marckhoff. 552 Park St.. Elgin. Ill. Direct only manuscripts and advertising matter to the Editor. Direct all other correspondence about membership affairs. address changes, back numbers and sample copie of Paper Money to the Secretary, J. Roy Pennell. Jr., P. 0. Drawer 858, Anderson, S. C. Membership in the Society of Paper Money Collectors, includ- ing a subscription to Paper Money, is available to all interested and responsible collectors upon proper application to the Secre- tary and payment of a $4 fee. Paper Money is not otherwise available. ADVERTISING RATES One Time Yearly Outside Rear Cover $35.00 $130.00 Inside Front & Rear Cover 32.50 120.00 Full Page 27.50 100.00 Half Page 17.50 60.00 Quarter Page 10.00 35.00 The right is reserved to reject any advertisement. CONTENTS The Treasury of North America, by Edward R. Barnsley 3 Monetary Reform and Economic Recovery of Postwar Germany-1945-55, by Richard A. Banyai 7 The 1957 Series $1 Without the Motto, by George W. Killian 16 The Trading Post 17 A Confederate Vignette—Origin and History, by Everett K. Cooper 18 Secretary's Report—New Membership Roster 19 Library Catalog 25 Cocie4 aif Paper iitanq Caliectoui OFFICERS — 1964-65 President Thomas C. Bain. 3717 Marquette Dr.. Dallas 25. Tex. Vice President Dr. Julian Blanchard, 1 Sheridan Sq., New York 14. N. Y. Secretary J. Roy Pennell, Jr., P. 0. Drawer 858, Anderson, S. C. Treasurer Glenn B. Smedley, 1127 Washington Blvd., Oak Park. Ill. APPOINTEES — 1964-65 Historian-Curator Earl Hughes Attorney Ellis Edlow BOARD OF GOVERNORS — 1964-65 Thomas C. Bain, Julian Blanchard, William P. Donlon, Ben Douglas, Nathan Goldstein II, George D. Hatie, Morris H. Loewenstein, Fred R. Marckhoff, Paul S. Seitz, Arlie Slabaugh, Glenn Smedley, George W. Wait al1111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111111811111111111111111111111111111111111111111111111111110E E E = Request from the Secretary = = == The end of 1964 also means the end of a fiscal year for the Society. 1965 dues g -2 are due. It would be very much appreciated if each member who has not paid his g = 1965 dues would send his check or money order in the amount of $4, payable to E= the Society. Members with numbers 908 through 1023 please remit $3, and members E with numbers 1023 through 1089 please remit $2. These members were given= = = credit for issues of PAPER MONEY that they did not receive because we gained new == E members faster than we anticipated. Prompt payment of your dues will save your g 2 Secretary many hours of work sending reminders to you. 1965 membership cards .:7- E= will be mailed as soon as your dues are received. This is the last issue of "PAPER E 'B MONEY" that will be sent to members whose dues are unpaid. E= = WHOLE NO. 1 3 Paper Money PAGE 3 The Treasury of North America By Edward R. Barnsley TREASURY DEPARTMENT SEAL Seal of the Treasury of North America, inscribed "Sigillum Thesaurus Americus Septentrio" Well known to everyone is the vast circulation of our country's paper currency in astronomical figures; for example, the outstanding dollar bills alone number one and a half billion. Much lesser known to the general public is the strange fact that all of this great paper wealth is signed by the Treasurer of the United States, but is sealed instead by the seal of the Treasury of North America. This situation has existed for over a century. To find out how this inconsistency occurs, we must first turn back to those historical records that deal with the formative years of our Republic. Following the meetings of the First Continental Con- gress in 1774, the British colonies and provinces therein ladeltthia, February 17, 1776. if O NE IXTH. 411 tf)1.11,K022.fl.1 kA, PAC 1 George W. Wait Collection 'LATI N 1 01\4E SI, H. OF DOLLAR, According to a Rejolu-! ion?! CON— G R ESS, pa 1: \.,,fed at Phf-1 71 4..47:44011,EIGHT 1-121T4 LARS. .*I•rti2C-i7:11114T11';$3..qt.,) , 07m) v111.1,4, . z o •'.- 74,4* IT )1frie:rii. 4 ci 1.El. tear , ._ x.,. i /LA, H ' Z . rrk,,s Rill anutwe th• I Starer to ecaene ' 11,. .' ; . 116 Hi Spani,a oN1 DOLLARS,ortku Value thrsti.1 in Gs •• t ,, or Stivrr, according t, 4 a Kt i'ohnion of (.21 N. tor SS, pal ' at 11. , ,Nr4rt iou. .6. 177 • :-__.-...-_ ,r...--, ,/ • /. ei-- , - •/ ' 44%, ) (.;r, O. Thirty Dollars 9n BILL ettir-Cf.4 H.? Bearer ro raceme mned DOL L A R 4,01 '4, T I R Spanifhi• i tfe 44,7 tiCyrolc in 9'0,1 ,S.-2tPer , ax- rertErs / t ..fed CR72- ip...1} .1? P ffg --- XXX DOLLARS, t. 26th, 177 PAGE 4 Paper Money WHOLE NO. 13 assembled were generally known by the simple, collec- tive name of The United Colonies. This name is believed to have been a carry-over from that 17th Century league for friendship and mutual advice known as The United Colonies of New England. In May and November of 1775, and February and May of 1776, the Congress emitted its first four issues of currency, or rather "Bills of Credit" as this paper money was more properly called. All of the various denomina- tions, ranging from 30 down to one-sixth of a Spanish milled dollar, carried at appropriate places in their framed borders the name of the issuing authority, The United Colonies. No country is indicated on this lowest denomination of Continental Currency, 1776. Then on June 7, 1776, Richard Henry Lee of Virginia made his revolutionary motion that "These United Colonies are, and of right ought to be, free and inde- pendent States." His wording is supposed to have been thus phrased because the term "colony" implied a cer- tain distasteful status of dependence upon England, while the word "state" implied autonomy. Therefore, as the desire for independence was developing, most writers were already using the word "state" instead of "colony." Consequently, when a Congressional Committee was named to draft a declaration in support of Lee's resolu- tion, it was logical to call it, "The unanimous Declara- tion of the thirteen United States of America." An interesting numismatic observation following re- view of these widely known historic facts is that the first three emissions of Continental Currency released after July 4, 1776, continued, nevertheless, to bear the inscription United Colonies rather than United States of America. This oversight was no doubt due to the exi- gencies of war plus the physical difficulties of preparing new cuts. On September 9, 1776, the country's lawmakers de- cided "that in all continental commissions, and other instruments, where, heretofore, the words United Colonies have been used, the style be altered, for the future, to the United States". The next two issues. November 2, 1776, and February 26, 1777, continued to bear the appellation of The United Colonies in spite of the intent of this resolution. It was not until the currency issue of May 20. 1777, that the frames were in fact changed to read The United States in conformity with the resolu- tion quoted. George W. Wait Collection Barbara R. Mueller photograph The United Colonies, 1777 On November 15, 1777, the final draft of the Articles of Confederation was completed, but the document itself was not adopted and ratified by all thirteen states until three and one half years later. So the two series of Continental Currency emitted in 1778, although incorpo- rating newly designed frames, did, nevertheless, continue to use the title The United States rather than the correct appellation The United States of America, as required by the Confederation. George W. Wait Collection Barbara R. Mueller photograph The United States 1778. This note is signed by James Wilson, who also signed the Decla- ration of Independence. NO,..:1 Tit R F.R DoLLAR b. Bean, ir ro rotator -r HREF SNAN/SH milled DOI LABS, or ao typal S ix Gold or Silver. a re < R<•hltiOr tf CONGRESS of do 1 14. jaorrary, Inv . Three Doilars. air- Eighty Dollars. T HE BEARERL entitled to ALCEO. 1 EIGHTY SPANISH <11.7,7 .1 DOLLARS, or an eilualr,e; Sum in Gott,to. S according to a RefolutionT"id of Conon Ris of the 4477' JANUARY, 1779. Eighty pollars. )1 • George W. Wait Collection Highest denomination of Colonial Currency on United States of North America note, 1779 Paper MoneyWHOLE NO. 13 PAGE 5 The Congress on September 26, 1778, appointed a Committee to "prepare a seal for the treasury and for the navy." Rev. John Witherspoon, Gouvernour Morris and Richard Henry Lee constituted this committee, and the seal they devised had a Latin legend which translates literally, "The Seal of the Treasury of North America." At least we assume that is the legend on the seal they designed, because the Journals of the Continental Con- gress fail to indicate that the said committee ever made a report. Subsequent research likewise fails to reveal when the seal of our Treasury Department was adopted. Most evidence indicates that the seal has never been adopted as such by either the Continental or the Federal Congress. Many writers believe that the Treasury seal was un- doubtedly the personal handwork of Robert Morris, financier of the Revolution, even although he had not been appointed an official member of the design com- mittee. Positive proof of this thesis is lacking. In any event, whoever masterminded the job reflected a pre- valent idea that the Treasury of the Continental Con- gress should in fact embrace the territory of the entire continent; viz, North America. There was, indeed, hope in certain quarters of the Confederation being greatly enlarged by merger with the Province of Quebec, the official name by which Canada had been known since 1764 when the British established civil government there. Continental Congress meant a Congress of the Continent, so why shouldn't our Treasury be a Treasury of the Continent; i.e., North America? On January 14, 1779, the Congress authorized its eleventh and final issue of Continental Currency in the amount of $140,052,480. In conformity to the name of the Continental treasury as spelled out on its seal reputedly adopted a few months previously, new frames were designed reading, "United States of North America." This emission became, therefore, our only issue of paper money ever to carry this name of our country as such. The title United States of America was consequently never carried on any of our 11 issues of Continental Currency. Paragraph No. 6 of the aforementioned enabling Resolution stated: George W. Wait Collection Barbara R. Mueller photograph The United States of North America, 1779 "That for preventing the counterfeiting of the said bills, new stamps with additional checks be provided, and a sufficient number of proof sheets struck, and sent, with the signatures of each signer, to the assemblies of the respective states, to be lodged by them under proper regulations in public offices in the several counties, towns, and districts, for the benefit of the inhabitants of the United States." On February 20, 1781, Robert Morris was elected Superintendent of Finance, and on May 17 following he presented to Congress his plan for establishing The Bank of North America. On December 31, 1781, this insti- tution, which played such a noble part in helping the new Republic through its early financial trials, was in- corporated by Congress with a perpetual charter. It is interesting to know that this Bank founded by Morris now has 45 branches and flourishes as the largest insti- tution of its kind in Philadelphia under the merged title of First Pennsylvania Banking and Trust Company. Robert Morris seems to have been the principal public official who wanted to use the words "North America"— influenced possibly by his North America Land Company. After all, he probably figured, some day there might be a United States of South America or a United States of Central America. He induced Congress to set up the Mint of North America to help the Bank of North America stabilize the coinage and currency of the new country. It was on February 21, 1782, that Congress approved the establishment of this Mint of North America, but nothing really came out of the proposal other than the preparation of four pairs of Coinage dies from which were struck the famous Nova Constellatio pattern pieces in silver, all of which were dated 1783. It should be noted here that The Mint of North America had absolutely nothing to do with production of the popular "North American Token" dated 1781. These coins were struck in Dublin, Ireland, at a date much later than that indicated on their obverses. On February 8, 1783, Mr. Morris recorded in his diary that he had paid Jacob Eckfeldt five dollars and eighteen-ninetieths of a dollar "For Dies for the Mint of North America." Jacob was and Comp:!:; (; /le ..; r 1)1 air . pal - to tilt: dentaad, One ti(t:i Cl a 1);- 11,11-: r, 77.8s. 6° 5- • '77'; 7 .7 7: 7: 7' CaMitr.<, -t,‘ .m;■.•1,, '71 1-1 *' !!- !- , 4 , .7t l'ege '411 !et '":. s-';,:.1 Le Pr. -:.1. ;it, Dirci! , ).-: .2.7 .,./....1.- ; ' (.' 41;p:;-, - ; , i* t;;e 11:.:-.', ......--, -,.; : - 11;-/Int;„; .; --7;),- - .;,4::.-;;..; _ pay t; .■ th,,- 11,,:;-;,-, 0.1 4,' -, d,-mand, One Nineti; III (.1::= 6 .; 1)011,7r. p; =r..... •A''' - 7: - • • - • , --- • A ;.. co.--.0 0.-4 •* . • /11111► PAGE 6 Paper Money WHOLE NO. 18 the father of Adam Eckfeldt, an employe of the United States Mint from 1792 to 1840, and a prominent figure in its early history. George W. Wait Collection Barbara R. Mueller photograph Fractional notes of the Bank of North America, 1789. These were suggested by Benjamin Franklin, who supplied the paper on which his grandson, Benjamin Franklin Bache, printed them. The present Department of the Treasury can furnish no conclusive information as to why the Latin legend of its 1778 seal reading Treasury of North America was not changed upon final adoption of the Articles of Con- federation on March 1, 1781, inasmuch as its Artide I declared, "The style of this confederacy shall be The United States of America." Again, the Constitution which became the supreme law of the nation on June 21, 1788, clearly stated in its preamble that the people had ordained and established it for "the United States of America." Yet the old Treasury seal of North America continued on, unchanged. Beginning with our first dollar bill in 1862, and except- ing only some varieties of fractional currency, every single piece of paper money issued by the United States Government, totaling millions upon millions of dollars, have all been imprinted with the seal of the Treasury of North America, latinized and abbreviated to read, "Sigil. Thesaur Amer. Septent." When our present Department of the Treasury was officially organized by authority of an Act passed at the first session of the first federal Congress, the old outdated seal should have been corrected at that time to make it conform to the Con- stitution of the United States. but it wasn't. This "Act to Establish the Treasury Department" approved Septem- ber 2, 1789, does not even mention the word "seal"! Evidently custom only decrees that the improperly worded, unadopted, hence, unofficial, seal of 1778, should be continued in use, because it has come down in the same form to the present day uncorrected. What a strange anomaly it is that Congress has never seen fit, at even this late date, to adopt a seal which says in plain English that it is for the Treasury of the United States of America, and then use it properly to authenticate our great nation's astronomical paper wealth. BIBLIOGRAPHY Crosby, Sylvester S. Early Coins of America. Boston, Mass., 1875. "Debates and Proceedings in the Congress of the United States, March 4, 1789 to March 3, 1791." Two vols., Washington, D. C., 1834. "Journals of the Continental Congress, 1774-1789." 34 vols., Washington, D. C., 1904-1937. Lewis, Lawrence, Jr. History of the Bank of North America, the First Bank Chartered in the United States. Philadelphia, Pa., 1882. Newman, Eric P. "Source of the Nova Constellatio Copper Coinage" in Numismatic Scrapbook Magazine, January, 1960. "Franklin and the Bank of North America" in The Numismatist, December 1956. Philpott, William A., Jr. "Treasury Seals on Old Series Paper Money" in The Numismatist, June 1962. Raymond, Wayte Standard Paper Money Catalogue; Part I, Colonial and Continental Currency. New York, N. Y., 1950. Sumner, William G. The Financier and the Finances of the American Revolution. Two vols., New York, N. Y., 1891. Taxay, Don History of the United States Mint and Coinage. New York, N. Y., 1964. Thompson. Walter "Mint of North America and Its Coinage" in Numis- matic Scrapbook Magazine, November, 1959. Yeoman, Richard S. Guide Book of United States Coins, 18th Edition. Racine, Wis., 1964. WHOLE NO. 13 Paper Money PAGE 7 Monetary Reform and Economic Recovery of Postwar Germany - 1945-55 By Richard A. Banyai I. INTRODUCTION The revival of West Germany has been one of the spectacular performances of the postwar scene. In the span of 10 years, 1945-1955, a defeated and prostrate country has produced one of the strongest and soundest economies in Europe. This has been accom- plished in part through German hard work and effective American aid. but other countries have also worked hard and received aid with far less spectacular results. What has made the difference? I believe that we have here a case of free-market economy operating successfully with a limited number of strategically set controls and greatly helped by political and economic events outside its borders, and a well-managed currency system which has held up quite well in the past 16 years. Germany has done the right things and has had good luck to do them at the right time. In this paper, the monetary importance of the recovery will be stressed. I believe that it was the 1948 monetary reform that brought Germany (West) back to life. It must be remembered that the monetary system is the life blood of a modern industrialized nation. Germany's bloodstream was diseased and diluted after the war. This can be mainly attributed to the heavy deficit financing of the Third Reich (1933-45), which pumped billions of Reichsmarks into the economy, especially in the early 1940s due to the war effort. After the war economic activity in Germany came to a halt. Over large areas, production and distribution all but ceased. The only economic magnitude that did not drop below past norms was the inflated volume of money. The exact total for the three Western zones will probably never be known; it must. however, have been well above the 118.7 billion Reichsmark registered by private holders during the currency reform of 1948 (currency and all types of deposits An amazing "fact" was brought to my atten- tion: After the reform one-tenth (approximately) of the earlier amount proved sufficient to conduct a larger volume of business at higher prices. On the other hand, when we consider the Soviet Zone of Germany, which is of no significance in this paper, the magnitude of the money supply was somewhere in the vicinity of 450 to 500 billion Reichsmarks. Assuming Germany after the war was not divided as it was at the time, we can indeed imagine the monetary reform of 1948 would have been more stringent in its application due to the enormous volume of money which had to be absorbed. However, the main concern of this paper is with Western Germany. Though the German experience is historically unique, it nevertheless carries some broader lessons. If the stock of conservative monetary and fiscal policies has risen in the world, it is in part due to the German example. Countries seeking rapid development of their economies are likely to be interested in the German policies. Whoever believes that a free economy can produce such development will find the German experi- ence heartening. Insofar as the past can supply clues to the future. Germany's postwar history may throw light upon questions such as those posed by the country's rearming, by pressure for reunification, and by the struggle over Germany between East and West. Tourist-eye observers of Germany's performance some- times stress some one factor as the cause of revival. Hard work, the tax system, labor discipline. and the Marshall aid are among the things most frequently singled out for this distinction. Each such observation points to an important element, but all "single-cause" explanations are doomed to inadequacy by the obvious multiplicity of causal factors. Of course there is bound to be disagreement as to the relative importance of these PAGE 8 Paper Money WHOLE NO. 13 factors. The fact is that many things had to come to- gether to make Germany's spectacular revival possible. This brings to mind the many different theories of the trade cycle (business cycle). There have been many theorists in the past who have formulated theories on what specific thing causes the trade cycle but most of these conjectures prove inadequate because there are many causal factors acting together, some more strongly than others, which cause trade cycles. Below is a quotation by Dr. Ludwig Erhard, former German Economics Minister and now head of the West German nation : "All my economic policy measures are based on the criterion of how, human beings will react to them, and what the consequences of any changes in economic cir- cumstances would be for them. "Since all the successes which have been achieved as a result of my economic policy can be traced back to the activities of those actively taking part, I do not believe that the idea of a "German miracle" should be allowed to establish itself. What has taken place in Germany during the post-war years is anything but a miracle. It is the result of the honest efforts of a whole people who, in keeping with the principles of liberty, were given the opportunity of using personal initiative and human energy. If this German example has any value beyond the frontiers of the country it can only be that of proving to the world at large the blessings of both personal and economic freedom." 1 Therefore, I believe it is important to stress the mone- tary phase of the recovery as the main panacea of West Germany's economic recovery. It is realized that there were other factors of importance, but it is strongly be- lieved that the monetary and fiscal policies of the West German government had the strongest bearing on the recovery. II. THE "GERMAN MIRACLE" Nineteen years ago Germany was a defeated and broken country ruined beyond resurrection in our time. Today the West German economy is among the healthiest in Europe. Though the scars of wartime bombing are still visible in some cities, the standard of living is well above pre-war. A rapid expansion of production and exports continues unabated since 1948. Unemployment, which was for some years the darkest spot in the picture, had been reduced to a tolerable level in 1955. In fact today (1964) Germany is enjoying full employment and must even import laborers from Italy and France to work in her factories. One good example is the Volks- Wagen Auto plant at Wolfsburg. Here the labor force is composed not only of Germans but also Italians. Ger- many's currency reserves are quite large with approxi- mately $6 billion in gold. Her public finances, with their succession of surpluses in the face of tax reductions, are the envy of Europe. Germany has confounded not only the prophets but to some extent also the economists. Had a poll been taken shortly after the war it is fair to bet that a con- siderable majority of economists would have regarded the maintenance of fairly tight controls as advisable. But as soon as the Germans regained some measure of influence over their affairs they threw off a large part of the existing controls. They chose instead to rely upon tight money and balanced budgets as the means to keep the currency sound, prices stable, and the economy in order. They reduced the role of government and gave private business the scope and incentives to do most of the work of reconstruction. These "orthodox" policies did not go all the way to a laissez-faire paradise—far from it. A substantial amount of government interven- tion remained. But measured against the contemporary climate of opinion, and compared with what most other European countries were doing, they were orthodox enough to be strikingly novel. The term "German miracle" is regarded with disfavor in Germany, and rightly so, as it seems to imply that the revival was a phenomenon surpassing all under- standing. But it would be equally wrong to see in the revival nothing more than the inevitable result of the famous German "trichtigkeit," their ability to get things done. A great many circumstances and events beyond German control helped, and the respective roles played by good management and good luck are not easy to unravel. Besides dichtigkeit there was foreign aid, the Korea boom, and a host of other factors. That all these things came together at the right time and place in con- junction with the currency reform is the real German miracle. III. MONETARY AND FISCAL POLICY With the end of the war organized economic activity in Germany came to a halt. Over large areas produc- tion and distribution all but ceased. There was no rail- way transportation. In many localities there was no electric power, no gas, no water. There was no telephone and no mail. The only economic magnitude that did not drop below past norms was the volume of money. The inflationary war finance of the Nazis had pushed the money supply to dizzy heights, and at these it remained up to the currency reform. To be approximate, there were 118.7 billion Reichsmarks registered by private individuals during the currency reform. The disproportion between the supply of money and amount of goods available was so immense that one should have expected large-scale black markets to develop immediately. It was a source of surprise to the allies that such did not happen. The fact that black markets were held in check for a while may be attributed to the extraordinary rigid pattern of prices and wages with which Germany had lived for a decade and the most effective control system of the Nazis that the allies had to take over as they found it. For a while most goods con- tinued to move through legal channels, although in very inadequate volume. Gradually, however, nature began to take its course. A growing volume of goods found its way into the gray and black markets. It became increasingly difficult to do business and even merely to exist strictly within the WHOLE NO. 13 Paper Money PAGE 9 limits of the law. Firms which had been selling all their output through legal channels could not replace their stocks of raw materials nor hold their labor. Businessmen engaged in uneconomic pursuits. Firms which dealt in less convenient lines would try to shift part of their output so as to have something with which to barter. If that was not possible they would trade part of their output against consumer goods or give their workers coal as a modicum of wage. An even more extensive and complicated system of barter had to be carried on to secure raw materials, spare parts, and fuel. Only a part, eventually perhaps no more than half of total output, continued to be sold subject to official controls at legal prices. These conditions finally led to an almost complete repudiation of the currency. In legal transactions money was of secondary importance compared to the ration coupons that went with it. In gray or black dealings, where fears of currency reform and of the tax collector made large money hoards especially unwanted, barter was the prime form of operation. The general goal of business was to buy as much and sell as little as possible, to build up physical assets in plant, equipment and in- ventory, and to preserve substance by not selling against the paper money. As a matter of fact the cigarette be- came standard money over large sectors of the economy, both as a means of payment and as a measure of value. 2 In the monetary and fiscal fields the outstanding measure was a very stiff income-tax law passed by the Control Council early in 1946. The law's aim was to prevent inflationary deficits in state budgets and to re- duce substantially the monetary overhang. In outward appearance this was probably the fiercest piece of income taxation ever inflicted on a Western country. It reached incredible levels, such as 50% at the 2,400 Mark level and 70% at the 13,200 Mark level. In reality the burden was not as extreme as it had seemed at the time; com- pared to black market prices the income tax was still cheap. The tax, nevertheless, achieved the minor task of balancing budgets in a ruined economy. Monetary policy in the ordinary sense was out of the question as long as the economy remained in its inflated state. A complete currency reform was clearly required, both as a first step toward revival of monetary policy and, more importantly, as an essential condition of more rapid economic recovery. Plans for a reform had been worked out by a group of American economists as early as the spring of 1946 (referred to in the press as the Dodge-Calm-Goldsmith plan). Under the Potsdam Agreement the reform would have had to be carried through equally in all four occupied zones. Prolonged negotiations with the Russians, however, led nowhere. That the Western Allies preferred to let two years slowly drag by rather than to proceed unilaterally attests to their realization that the splitting of the currency also meant the final splitting of Germany. When the currency re- form was put through in June 1948, these unhappy expectations were fully realized, and the introduction of the new currency in West Berlin touched off the block- ade of the city. The Soviet-sponsored reform about the same time in East Germany was quite similar to the pro- gram conducted in the Western zones. One difference, however, was that savings deposits were converted at different rates: one-to-one for the first 100 Marks, five- to-one for the next 900, and ten-to-one for all in excess of 1,000 Marks. THE CURRENCY REFORM—JUNE 20, 1948 The main features of the currency reform proper were: (1) the contraction of the money supply and and (2) the reorganization of the public and private debt structure. The currency reform was accompanied by a tax reform and by a progressive removal of price and rationing controls. An equalization scheme for war damages was to have been a sequel to the reform but did not material- ize until four years later in 1952. The contraction of the money supply was the most conspicuous element of the reform. All currency and bank deposits owned by individuals and firms had to be registered. They were to be converted into the new Deutsche Mark at a rate of 10:1, in other words scaled down to 10% of the original amount. Of this 10% one-half was placed at the owner's immediate disposal; i.e., as quickly as the necessary computations could be ground out and checked by the income-tax office. The other half was again split, one-fifth (equal to 1% of the original amount) being made freely available later, while one-tenth was set aside for investment purposes in a blocked account. The other seven-tenths were canceled when it became clear that release would endanger the success of the reform. The net effect of all these per- centages was a conversion rate of 100:6.5 (with some qualifications for smaller amounts). This severe scaling down applied to savings deposits as well as demand deposits and time deposits, a fact that became a source of much bitterness and social distress. At this point it would be proper to insert an excerpt from a speech given over the German radio on June 21, 1948, by Ludwig Erhard: "After several days of mental and spiritual anxiety we have relapsed into the routine of everyday life. Today the German people went to work calmly and quietly, and I believe that most of them must have felt a sense of relief when it dawned on them that the dreadful threat of mass hysteria had gone and with it the shocking financial swindle of a price-frozen inflation. Only now that this fever has passed do we fully realize how close we came to the edge of the abyss and how urgent it had become to introduce our new currency and so return to the path of honesty and sincerity." This statement is most significant when one realizes that the German nation less than three decades earlier experienced one of the worst hyper-inflations of the early twentieth century. Simultaneously with the currency reform new personal and business tax rates were introduced. They reduced sharply the rates imposed by the allies in 1946, but not as sharply as the German administration had wished. As a compromise the occupation authorities agreed to a PAGE 1 0 Paper Money WHOLE NO. 13 series of concessions that exempted from taxation income saved and invested. These concessions, which in effect eased mainly the burden on the upper brackets and favored independent businessmen, later played an un- expectedly important part in financing the recovery. The initial deficit produced by these tax cuts proved to be temporary, owing to the rapid rise of national income. This very thing can be seen now in this country if one studies the United States Treasury revenue reports. Since the tax cut in the first quarter of this year (1964), it is reported that the revenue to a degree is at a surplus. The tax cut acts as an incentive for one to invest or spend more of his idle funds, thus helping to stimulate the economic situation to some extent. Finally, later on a series of decontrol measures was introduced following the currency reform. They centered on the prices of the manufactured consumer goods. Some foodstuffs were likewise freed, but most basic foods, rents, and materials remained under control for some time. In regard to the German currency reform, whether the impression was favorable or unfavorable, it was a tre- mendous success. No other financial operation in Ger- man history has had such an immediate and profound impact. The various observers, both left and right wing, had agreed that it transformed the German scene from one day to the next. On June 21, 1948, commodities once again reappeared in the stores, money resumed its normal function once again as the modicum of exchange, the variety of gray and black markets took a minor role in the economy, foraging trips to the country ceased, the productivity of the labour supply increased, and output once again took off on its great upward climb. The spirit of the country changed overnight. The gray, hungry, dead-looking figures wandering about the streets and countryside in their everlasting search for food came to life as, pocketing their alloted 40 DM, they went on a first spending spree. The overriding fact was the great success of the currency reform in getting the German economy back into operation. The counterpart of the toughness of the reform was the aid it gave to the active forces of the economy. It raised production incentives by keeping down the burden of carrying the unproductive part of the population— pensioners, owners of savings, old people, people unable to fend for themselves. By wiping slates clean it favored entrepreneurs, businessmen and debtors at the expense of fixed-income receivers and creditors. 3 It was neces- sary that. in putting the monetary system in the best possible shape for recovery, it made few concessions to social equity. After the reform was put into effect it did experience a renewed threat of inflation due to the demand for credit by business and the conversion of old balances, not to mention the second allotment of 60 DM per capita as specified by the currency reform. This all led to renewed inflationary pressures. However, it still stands that the reform was a success and that the post-reform inflation expended itself to a degree by December of 1948. Of course there were four main factors which contributed to the tapering off of the post-reform infla- tion. These were: (1) the expanding gap between prices and the consumer's purchasing power created by rela- tive wage stability; (2) the diminishing supply of con- verted balances; (3) budget surpluses resulting from increased revenues due to the increased national income; and (41 the decrease in demand for German export goods. If one were to analyse the German business cycle trend they would discover the ups and downs of the economy after the 1948 currency reform and would note that the fluctuations very much took care of themselves in the atmosphere of relatively conservative monetary and fiscal policy. By that I mean that the German economy took care of itself without extreme plans of deficit financing or public works projects. This once again can be attributed to the careful way in which the currency was managed and the internal and external factors which smoothed out the fluctuations; i.e., the four above listed factors which contained the inflation (post-reform), the influx of refugee labor, the Korean war boom and its impact upon exports from Germany. IV. THE ROLE OF THE CENTRAL BANK Germany's recovery from the ruins of World War II to its present position as the most prosperous country in Europe has been the subject of a great deal of study and discussion. Evidence shows, however, that it was the establishment of the Bank Deutscher Laender (1948), the West German central bank. which was most influential in Germany's take-off into prosperity. An authority on the question, Professor Henry C. Wallich of Yale University, made a new contribution with a study that credits the Bank Deutscher Laender with a crucial role in the revival of the German economy. In coming to this conclusion. Wallich implies that Ger- many's orthodox monetary policy, carried out by a central bank independent of government, should serve as an example to other nations. In stating this he is bolstering the position of the United States Federal Reserve System (U. S. Central Bank), which has also favored independence and orthodoxy. This is most significant. In many nations today, especially the Latin American nations, the central bank and the government are integrated. This has led to intense inflationary policies by these governments. Where there is separa- tion of the two, central bank and government, intense inflationary policy is not noted. By intense it will suffice to define it as a galloping type of inflation. That is, an inflationary policy whereby the price level rises approxi- mately 50% per year, more or less. In the summer of 1957, the Bank Deutscher Laender became the Deutsche Bundes Bank under a new law that aimed at clarifying the relationship between the govern- ment and the bank. Under the law the bank remains independent in carrying out its functions. but the govern- ment cannot take part in discussions of the bank's policies. The bank is supposed to "support the general economic policy" of the government as long as it is corn- WHOLE NO. 1 3 Paper Money PAGE 11 patible with its own policy. Just what happens if there is a conflict is not spelled out. However, it can be assumed that the bank and government officials would discuss the situation and perhaps arrive at a compromise. Wallich makes clear that Germany possessed a number of other advantages that aided recovery—the influx of cheap refugee labor from Eastern Germany, the lack of a heavy rearmanent burden, the cooperative attitude of labor which was most beneficial especially when as a whole labor controlled wage demands during the early years of the revival. In addition. Germany received big doses of foreign aid. and her people showed a "willing- ness" to "work hard in order to make good war losses." Wallich states that these advantages would have been dissipated if the government and the central bank had not followed "deliberate policies" aimed at assuring both recovery and monetary stability. The government man- aged to achieve budgetary surpluses that helped to spur investment. Wallich reports that 42.2% of total investment came from business itself, 21.8% from consumer savings and 35.9% from government. Only 29.2% of surplus govern- ment funds went into government investment; the re- maining 70.8% was diverted into business investment and housing. But it was the central bank's policies that created the environment for expansion. Although it was independent of the government, it shared the same aims: to raise output of the domestic economy and to stimulate inter- national trade. From the beginning the bank took an orthodox view. It did not follow the easy money policies of other European countries, which pumped credit into the economy to spur investment and produc- tion and used import controls and export subsidies to keep international payments in balance. Instead the German bank deliberately aimed at maintaining a stable currency and freeing trade from controls. The bank's decision was motivated, in part, by Ger- many's earlier ruinous inflations. It felt that stable currency would be the key to reviving exports. 4 The following are quotations by Dr. Herman Abs, Managing director of the Deutsche Bank. The excerpts were taken from the report, Economic Growth—Balance of Payments, a publication issued in the Fall of 1962 by the American Bankers Association at their 88th annual convention: "In my humble opinion there is no economic growth without securing stability at the same time, by which I mean monetary stability. "The fresh upsurge in growth rates can only be expected when the German cost and price levels are stabilized and again come in line with productivity, and our competitive power regains strength. At the same, industrial capacities will have to be increased. At what time and to what extent the Common Market will play a more decisive role in boosting economic growth remains to be seen. "In any event, if measures to maintain monetary, price, and budgetary stability fail and savings are not kept in line with investment requirements, the equilibrium of the economy as a whole under the present circumstances. of over-employment (1962-63) will be jeopardized. The foregoing shows on the other hand that deficit spending, if applied during the period of 1950 to 1960, would have prevented the German economy to grow as it did grow. "1 therefore, as a concluding remark would like to add that monetary stability is one of the pre-conditions to prepare measures for economic growth to the best of the national and international economy. -5 The intensity of German monetary experience has produced not opinions but convictions. Principles rule and are easily dented by short-run expediency. There has been little inclination to sacrifice the long-run to the short, or to buy an increase in the production index with a rise in the price index. This, of course, is in reference to the financing techniques of central banks and governments whereby the supposed panacea for unemployment and an increase in economic activity is to pump money into the economy via deficits. In in- stances this is the same as printing paper money to pay for the goods and services of the economy, thus tending toward inflation, as the extra currency competes in the market against the already existing stocks of money. It would not be so bad if taxes were increased for such endeavors. This would somewhat alleviate the infla- tionary tendency due to consumer and business expecta- tions about the economy and the added increase of the money supply. Nevertheless, in some cases it would probably be best for governments to abstain from inter- ference with the market economy and let business take care of itself. This is the case of Germany. Anyway, the currency has not been treated as though it were capable of taking indefinite punishment; stable money, like democracy, has been accorded its price of eternal vigilance. Putting currency stability ahead of full employment has sometimes been regarded as a harsh policy. It is harsh in the sense that all German policy since the war has been harsh. Germany has experienced a great deal of suffering. The policy makers have been willing to accept hardships for the sake of long-run progress. The harshness has been softened, however, by the broad social security system and by the effort to in- ject an element of social consciousness into the market economy—the Soziale Marktwirtschaft to which we now turn. V. THE FREE MARKET POLICY It is indeed not easy to classify the order that arose in West Germany. Neither a truly free nor a planned economy, officially and rather ambiguously termed a "social market economy," it was more like the "welfare state" of American definition. It attempted to preserve the free market place for production and distribution of goods and services, while at the same time it controlled the distribution of income and wealth, chiefly by means of taxation. But in reality, West Germany was less of a welfare state than a relief state. The free market was re-established in June, 1948, in a West Germnay disorganized and disintegrated, resem- bling somewhat the economic ways prevalent under PAGE 12 Paper Money WHOLE NO. 13 Nazism. The chaos of the Nazi "planned economy," whose dictatorial controls, autocratic interferences, blue- prints, red tape, and rationing had reached their heights during the war, had strangled all normal commerce. After Germany's surrender, with currency and production totally disrupted, many controls of the wartime economy were retained, which only made the chaos worse. 6 The controls were only in part fashioned by the occupying powers. To a large extent it had been neces- sary to take over those previously existing in order to cope with the immensity of the job. Only at the be- ginning of 1948 was some order brought into the situa- tion by means of a unifying ordinance which, however, left the old underlying legislation temporarily in force. No major changes in the controls system were practi- cable prior to the currency reform. A removal of price ceilings would no doubt have brought the German economy back to life rapidly. Of course prices would have spiraled upward many times, the black markets and most illicit trade deals would have disappeared, and the economy would have begun to operate again. However, the drawback to this is that there would have been the danger of a continuing inflationary spiral which would have more than likely dragged the economy once again into sluggishness, as had been the case almost a quarter of a century earlier when the great German hyper-infla- tion of the early 1920's brought the German nation to its knees. Nevertheless, with the currency reform the controls were lifted. The lifting of controls was a bold step but not a blind one. It was limited to sectors of the economy where incentives were likely to have greatest effect, where stability of prices could do relatively little damage, and where controls would have been hardest to administrate. It centered, therefore, upon manufactured consumer goods. Clothing and shoes, though they remained rationed, were freed from price control, and the ration- ing was random. Most other manufactured goods of daily use were completely free. Wages were freed three months after the currency reform. Subject to continued control were most basic foodstuffs and agricultural prod- ucts; basic materials like iron, steel, coal, and oil and some nonferrous metals; utilities and transportation, rents and many services. For the businessman the free market policy has intensi- fied both rewards and penalties. He has been up against fluctuating markets in which he could use his ingenuity to make large profits, but also stood to lose by wrong decisions. In a tightly controlled economy both oppor- tunity and risk would have been smaller. The increase in competition, which has been the corollary of the free market policy, has put pressure upon the businessman to improve his performance. For the consumer the free market policy has meant the ability to buy freely, without coupons or shortages. He has been rationed only by his purse, and this has been a strong incentive to bestir himself to earn more money. Opportunities have not been lacking, unemployment not- withstanding overtime, double jobs, and work by several members of the family. In this way, despite high prices and low wages, the average German has been able to feed himself fairly well, restock his wardrobe, refurnish a home, and replace some of the other personal effects that he had bartered away during the bad years when a typewriter went for five or ten pounds of butter. EFFECTS OF TIGHT MONETARY AND FISCAL POLICIES The tight monetary and fiscal policies served to main- tain the incentives created by the free market policy and added some new ones. Had money been made easy, the ensuing inflationary climate would probably have spelled the end of free markets. The tight money policies made possible ever-widening decontrol. They intensified competition and pushed the economy increasingly towards a buyer's market. That is a market in which prices are relatively low and the consumer is at an advantage. They created penalties for insufficient effort: failure for the businessman and unemployment for the worker. Neither threat was very imminent—as witness the relative scarcity of bankruptcies—but a mild sort of pressure undoubtedly existed that would not have been felt in an economy with excess liquidity. The prevailing monetary and fiscal climate also pro- vided strong incentives to seek export business. It was not easy for German firms to get back into world markets. Many of them would have much preferred to do their business at home had they encountered sufficiently recep- tive conditions there. The trend towards buyers' markets forced them outside. That is, they sought foreign markets for their products. Other markets which de- manded their products and paid higher prices for them were needed and found. The Korean war boom provided a foreign market for German export goods, and Ger- many's export trade zoomed upward. Disregarding the fluctuations, Germany's foreign trade has been on the uptrend since 1948. Finally, tight money provided the essential incentive for a revival of consumer saving: confidence in the cur- rency. Without this the numerous tax concessions offered to savers would not have been nearly so effective. The stimulation of effort through tax incentives has been accomplished in two ways. First, it has resulted from the basic structure of taxation, in which turnover and sales taxes play an important role (in 1950-51 they accounted for 47% of total revenue, as against 25% in the U. S. A.). As a result income-tax progression, although it has been sharp, has not had to be quite so pronounced as would have been necessary if an effort had been made to relieve the lower-income groups of a larger part of the burden. The presence of a strong non-progressive, even regressive, component in the tax structure thus has served to reduce a disincentive. Second, there have been tax concessions which have the effect of reducing marginal taxation and, usually, of stimulating saving and investment. Many of them originated in a difference of opinion between the Ger- mans and the Allies as to the appropriate level of income taxation. The German side maintained, when the 1948 tax law was being discussed, that the rate cuts proposed by the Allies were not sufficient to provide adequate WHOLE NO. 13 Paper Money PAGE 13 incentives. The Allies refused to accept lower rates but agreed to a series of provisions, some already included in earlier legislation, giving relief in the form of special concessions for income saved and invested.' The tax obstacles to longer hours on the part of labor, so familiar in postwar experience elsewhere, were largely removed through virtual exemption from income tax of overtime earnings. The socially-conscious free market economy has per- haps not been altogether free nor especially outstanding for its social consciousness. Its chief characteristic, one might say, is the scope and incentive it has given to individual initiative. But, such as it is, it has done a great job. The free market economy proved to a world in which only a minority of disinterested observers had any real faith in a system based on individual initiative that the system still works. And certainly this is the more im- pressive because it was supplied by a country that has had a rich experience of the opposite type of economy. But in a broader sense the Soziale Markwirtschaft produced great social results. By rapidly lifting total income, however ill-distributed, it eventually raised every- body's income. This was what had been intended when private enterprise was given a free hand. It worked, even though under the protests of those who looked more at the distribution than at the rapidly rising total. A few years' per capita gain at an annual rate of 3% to 5% are worth more to lower income groups than the redistribution of a stagnant total within the narrow range that is open to such maneuvers. Through the rapidity of its advance the Soziale Markwirtschaft has largely fulfilled its promise. VI. LABOR'S PERFORMANCE Almost immediately after the currency reform, the re- covery that some, notably foreign, observers chose to call a "miracle" developed. This miracle consisted pri- marily in the fact that a very hard-working people, given a sound currency, the tools to produce, and help from abroad, could in free competition overcome chaos. In the first years of West Germany's economic re- covery, organized labor abstained—with minor local and regional exceptions—from strikes for higher wages and better hours by which they might temporarily have succeeded in getting a bigger slice from the small cake. To some degree this was because poverty extended to the union treasuries, where the accumulated reserves were still too low because of the war to sustain strike struggles. But in the main, the unions preferred not in any way to hinder the first stages of economic recovery with its upward trend, from which in the long run they would profit. Rather they pressed their claims to more per- manent power for themselves in the councils of economic leadership, which would later enable them permanently and peacefully to have a larger share of the social product and a higher status in society.° Perhaps the most frequently heard explanation of the German miracle is the German capacity for hard work. No one who has observed German workers going about their jobs can deny that they work hard and long, if perhaps not very fast or imaginatively. It is somewhat surprising, therefore, to find that by their own high standards they seem to have worked less hard during the postwar period than before the war. The 1938 figure of 49.7 hours per week was not reached again until November of 1953. Compared with the rest of Europe, German hours are long but not exceptionally so. In 1952 they averaged 3.3 hours above France and 1.8 hours above Great Britain, were almost even with Switzerland, and 1 hour below the Netherlands. It must be noted, however, that the high proportion of women at work has pulled the average down somewhat for Germany. Neither can substantial evidence be found to show that the intensity of work has increased. While there is no accurate way of measuring this, productivity can be used as a rough indicator so long as the chief determinant of productivity, the volume and quality of equipment, does not change. Owing to war damage, productivity after the war was low. By 1950-51, however, this damage had very largely been repaired, and in many instances improved equipment had been installed. An increase in work intensity over prewar should therefore have shown up in a higher productivity index. In fact, the 1936 level of productivity was not significantly bettered until after 1951. To illustrate, taking 1936 as our base year: 1936=100 All industries: Output per man hour worked 1949= 82.3 1950= 92.8 1951=102.6 1952=107.5 Quite possibly part of the failure to make a better showing must be charged to the greater proportion of old workers and women in the labor force as well as to the neglect of adequate training, but this can hardly alter the general conclusion. Germany's high ratio of economically active women provides at best a presumption of an exceptionally strong willingness to work. As a matter of fact the upsurge in the past 15 years in the number of working women in Germany has added to the prosperity. In this way a family has two incomes and can afford the added amenities of life, etc. Looking back upon the years since the currency re- form, German labor can point with a good deal of satis- faction to a rapid and substantial increase in nominal and real wages. Between June 1948 and June 1954, real weekly earnings advanced approximately 90%. Compared with prewar (1938), labor earnings had im- proved by over 27%. Nevertheless, in contemplating its position at any one moment during that period, labor had an uneasy feeling that it was getting a rather small share of the expanding pie. Business was making large profits, and from time to time labor made moderately successful efforts to cut in on these. But for a variety PAGE 14 Paper Money WHOLE NO. 13 of reasons these forays remained within rather narrow limits of restraint and caution. For the economy as a whole, labor's muted and un- aggressive policy has been an inestimable advantage. It has, in the first place, made a major contribution to the new stability of the new currency. That is, they held off major strikes for sizeable increases in wages which would have in all probability prompted the businessman to raise the prices of his various goods and services, thus tending toward inflation. One may even say that at one critical juncture when the success of the currency reform and of the free market policy hung in the balance, the day was won largely due to labor's restraint. If in the late fall of 1948 labor had made a determined effort to keep wages abreast of rising prices, both probably would have spiraled upward. The Erhard policy might have had to be abandoned, and the currency reform would have been a dubious success at best. But though labor protested bitterly and staged a one-day token strike, it allowed itself to be satisfied with a (not unsubstantial) raise of 15% in the face of a rise of about 25% in the cost of living index. This forbearance was admittedly made easier by the fact that despite the price movement the post-currency-reform economy was an enormous im- provement over what had gone before. It was further facilitated by the fact that the price rise centered on a limited range of goods, mainly clothing, shoes, and some foodstuffs, while many other items in the consumer's market basket were kept down by some form of control. Labor's restraint has helped to make and keep exports competitive. It is true that German wages have risen much more since 1948 than those of comparable Euro- pean countries. But they started at a low level, and productivity has increased considerably. The final and probably most decisive contribution. however, has been the financing of the investment boom. By allowing wages to lag behind profits. labor made it possible for business to engage in large-scale self-financ- ing. The inequality of the income distribution. favoring the higher incomes where proportionately more savings accrue, was the essential condition of the high rate of investment. 10 VII. CONCLUSION In retrospect it is noted that the currency reform of June 1948 was the pivot around which Germany's eco- nomic revival and present prosperity has revolved. It is indeed important for a nation to have a healthy monetary system so that trade and progress can proceed smoothly w ith minor fluctuations. In this respect there is evi- dence available to show that the supply of money and the utilization of credit expansion and contraction are fundamental factors in business fluctuations. Germany has demonstrated clearly since 1948 that a r ation which controls its money supply and/or adjusts productivity to the level of liquidity in the economy should have little fear of violent fluctuations in the busi- ness cycle, generally speaking. For added relevant interest I have included sources in the bibliography which deal with monetary influences on the business cycle. There has been a wealth of in- formation written on Germany since World War II and all the sources are excellent. For further study by interested individuals I have included in the bibliography several sources other than the ones used in assembling this paper. It is hoped, therefore, that the reader of this paper will have a better understanding of the important factors that combined to produce the so-called "German Mira- cle." As can be noted I have emphasized four major factors I believe to be important above all. Even though there were other elements of importance I have empha- sized what I believe to be the most important, these are: The Monetary and Fiscal Policy, The Role of the Central Bank, The Free Market Policy, and Labor's Performance. To ask ourselves how the world would look today if the East-West split had not occurred is almost like wondering what would have happened if Eve had never eaten the apple. As for Germany the guess is relatively easy: The Allies would still be sitting on top of a united Germany, holding her down politically and economically. Aside from the East-West split. two gifts of history to the German revival deserve to be recorded: Germany's remarkable political stability since the war, and the fact that this stability meant government by the conservatives instead of by the socialists. Stability of government, in the hands of the conservative coalition led by Dr. Adenauer's Christian Democrats, is traceable mainly to popular satisfaction with the past Adenauer-Erhard policies. However, in the fall of 1963. Dr. Adenauer stepped down from his position as the head of a pros- pering West Germany and his colleague Dr. Ludwig Erhard has taken over as the head of Western Germany. It can be safely assumed that the Bonn government headed by Dr. Erhard will keep up its economic policies, and that as long as Germany is in the experienced hands of the Erhard regime she will continue her travels on the road of economic well being. VIII. BIBLIOGRAPHY AND FOOTNOTES The Mainsprings of the German Revival By Henry C. Wallich, Yale University Press, 1955 The Two Germanies By Grant S. McClellan (edited by) H. W. Wilson Co., New York, 1959 The Return of Germany By Norbert Muhlen, Regnery Co., Chicago, 1953 Economic Growth—Balance of Payments Pamphlet by the American Bankers Association, Fall 1962, Article by Herman Abs (Managing director-Deutsche Bank) The Washington World Weekly paper. Article "Why Germany Prospers" by Dr. Erhard, July 10, 1962 The following footnotes denote paragraphs based upon material extracted from the following sources. However, before I list them I would like to state that Professor Wallich's book was most helpful in the organization of this paper. His RARE OPPORTUNITY - Few Recently Discovered Scarce Pioneer OBVERSE MORMON SCRIP NOTES Offered For Sale HISTORICAL — AUTHENTIC AND A COL- ORFUL AND IMPORTANT ADDITION TO ANY COLLECTION CRISP, UNCIRCULATED, DOUBLE FACE. Design on all notes approximately same and cancelled, size 3" x 6". Apr. I, 1898, 10c for produce, color blue $ 7.50 Oct. I, 1898, 5c for produce, color blue 7.50 Apr. I, 1898, 10c for meat, color red 8.00 COMPLETE. SET OF THREE NOTES . . . .$20.00 I Am Desirous of Enlarging My Collection of Western Currency and Pioneer Coins—Especially Colorado and Utah: Correspondence invited. DICK BOWMAN A. N. A. 50501 S. P. M. C. 804 P. 0. Box 10423, University Park Station, Denver, Colo. RVe fa not ;Mended to he used as Money. posWPI TiN, IVITNES5ETH TMNT Sy, Ailloradpir -BISHOP'S gEr4ERALSTOREHOUSE., SALT LAKE CITY, UTAH REVERSE WHOLE NO. 1 3 Paper Money PAGE 15 original work is a great reference and a deep study of the mainsprings of the German economic recovery. Lucidly writ- ten and scholarly, this work is recommended to anyone who wishes to further delve into post-war Germany's economic situation up to 1955. Footnotes 2, 3, 7, 8, and 10 were paragraphs based upon the analyses on pages 63-65, 66-69, 71-72, 120-122, 126-129, 147-152, and 288-290, and 297-300 respectively from Wall ich's work. Footnotes 6 and 9 were paragraphs based upon the information on pages 250-251, 251 and 257 respectively from Muhlen's work. Footnote I denotes the segment of the article extracted from the Wcshington World publication of July 10, 1962. (pp. 22) Footnote 4 is the paragraph based upon information obtained from page 55 of McClellan's work. Footnote 5 denotes the section of the article by Herman Abs on pages 16-20 of the A. B. A.'s publication Economic Growth-Balance of Payments Following are other works which may be of interest to the individual who wishes to study further the aspects of postwar German economics. Democracy in Western Germany By Richard Hiscocks, Oxford University Press, 1957 Germany and the Future of Europe By Hans Morgenthau (edited by) "Monetary Reform in Western Germany" By Fred Klopstock. Journal of Political Economy, Vol. LVII, Number 4, August 1949, pp. 277-292. "The Postwar Reorganization of the German Banking System" By Hans Adler, The Quarterly Journal of Economics, 1949, pp. 322-341 "Excess Liquidity and European Monetary Reforms, 1944- 1952" By John Gurley, The American Economic Review (circa 1953) p. 76-100 "Monetary Policy in Continental Western Europe 1944-1952" By Stephen F. Sherwin, University of Wiszonsin, School of Commerce, Bureau of Business Research and Service, Madison, 1956 As was noted in the conclusion there is listed below sources which pertain to monetary influences and the business cycle. "Money and Business Cycles" By Milton Friedman & Anna Schwartz, The Review of Economics and Statistics, Vol. XLV, Number I, part 2, February 1963, p. 32-78. "Monetary Growth as a Cyclical Predictor" By Beryl W. Sprinkel, The Journal of Finance, Vol. XIV, No. 3, Sept. 1959, pp. 333-346. "The Demand for Money: Some Theoretical and Empirical Results" By Milton Friedman. National Bureau of Economic Research, Occasional Paper 68, 1959. PAGE 16 Paper Money WHOLE NO. 13 The 1957 Series $1 Without the Motto By George W. Killian Each new coin or piece of currency generates rumors of errors. As a boy I remember the rumor that the Jefferson nickel without a flag was an error. And re- member the story about Joe Stalin's initials on the Roosevelt dime? There is a current rumor about the Kennedy half-dollar and a hammer and sickle. Within our currency hobby the production of the new $1 Federal Reserve Note even started the rumor that it was illegal! Prior to that the $1 Silver Certificates of 1957, which were the first dollar bills to carry the motto "IN GOD WE TRUST," created other rumors. The most prevalent was that either an atheist or Communist (some even suggested a Supreme Court Justice) got into the Bureau of Engraving and Printing and removed the motto from some of the engraving plates. To collectors the truth was quite obvious; the Bureau was producing both the 1935 F and/or 1935 G concurrently with the 1957 and/or 1957 A series which did not and did, respectively, have the motto. However, in spite of this simple explanation a rumor persisted that 1957 dollars did exist without the motto. I recall the ad of a reputable dealer advertising various currency items including the 1957 NO MOTTO. Under price was listed "Wtd." I have always wondered about this item. (See the author's mention of it in "Current Currency" in the Spring 1963 issue of PAPER MONEY.) Now I believe I can offer the full solution. Fellow society member Harold B. Smith gave the final clue. Harold obtained a $1 of 1957 B which did NOT have the motto and of course was quite intrigued. He knew something was peculiar, as the variety was not listed in either Friedberg or Donlon's list and he had seen no other mention of it. Because of my interest in the subject he sent it to me for examination. The bill may he identified completely as follows: 1 S 1957 B - U65170935A 759 C4: 434 where: 1 means a $1 denomination S means a Silver Certificate 1957 B represents the series - means only one major variety known (or the major variety if more than one) U65170935A is the serial number of the bill. 759 is the face plate number, and 434 is the back plate number. The bill is absolutely genuine. Its condition is excel- lent. crisp with a very few slight wrinkles or folds. There is NO MOTTO on the back. The first impression would have to be that this is a new major error ranking at least with the mismatched serial number. And, incident- ally, it is especially interesting to note that the serial number is in the same U ... A series in which the mis- matched serial numbers occurred. How could such a bill be produced? Possibly the motto portion of one part of a rear plate was damaged and it was decided to remove that portion of the plate but otherwise continue use of the plate. This theory just is not in keeping with Bureau practice and was not seriously considered. One theory considered was that during the production of the note a scrap of paper covered the motto area so that the motto was printed on the scrap and later the scrap fell away to leave the NO MOTTO bill. But this too seemed very unlikely. More specifically, it is just too much coincidence to think the scrap would be of exactly the right size and position to cover the motto with no more and no less. Could an employee have deliberately manufactured this error? In an ordinary print shop there is no question that it could be done. However, in the Bureau of Engraving and Printing I suspect there are so many safeguards that it would be impossible. Also what could be the motive? No em- ployee could remove a bill nor could he control the destination for later recovery. These ideas are presented to illustrate my thinking and in support of my final conclusion which quite simply stated is that the NO MOTTO bill was printed normally WITH MOTTO and later altered. But how can the motto be removed without a trace? I don't think it can! I have seen U. S. Notes which should have red seals and numbers but which have orange seals. This results from a bleaching action and is not an error. But house- hold bleach, or even bleaches three times as strong, does not remove the green ink. I do not believe a bleach. or any other chemical was used, as it would be very hard to apply a chemical so selectively. How else? I experimented with a sharp knife and worked on the bill as one might with a paint remover blade. It was surprising how well the ink came off. But the paper was left ruptured and rough. I was able to smooth it some with a soft eraser. But clearly this is not how the motto was removed from Harold's bill. How else? I experimented with an ordinary type- writer eraser and was again surprised at how well and completely the ink was removed. But again the paper was a little rough and perhaps thinner. I did not believe this crude technique had been used. How else? I experimented with a good quality pencil eraser. Lo and behold, it too removed the ink although it took longer. But the paper was not left rough or obviously thinner. I am convinced that this is the technique that was used on Harold's bill. What evidence is there of alteration? First the job was not absolutely perfect. A few very tiny green dots remain. But there are three other and considerably more damning bits of evidence. First examine and feel the unprinted area of any piece of new currency. (Since the note in question is from the new rotary presses, it is suggested you should use a dollar from any of the WHOLE NO. I S Paper Money PACE 17 1957 series, or any of the 1963s, for comparison). You will note that the unprinted portion of the paper has a pronounced texture. That is, the paper is not glass smooth. This is not true on the motto area of the NO MOTTO bill. In that area the paper is quite smooth, as from long rubbing with an eraser. Incidentally, I suspect that some technique perhaps an application of steam, might be employed to restore most of the original texture. If all the erasing is done with the aid of an erasing shield, the boundary between the worked and unworked area might be quite evident. To hide or eliminate the boundary the entire area might be worked over with an eraser. I believe this was done on the bill in question. The evidence resides in the fact that at a few points in the general area of the motto the green printing is not quite as clear and sharp as it should be on a new bill. That is, the areas were affected by the eraser work. I suspect that greater care could prevent this telltale sign. The final bit of evidence resides in the fact that the heavy erasing has thinned the paper a little, thereby making that portion of the bill slightly more transparent. Accordingly, Washington's portrait shows through better in the area of the missing motto than it does in the area below the word "ONE." Again, a clever and determined manufacturer of "errors" could probably devise a means to mask this evidence. There is absolutely no evidence to suggest that the specific NO MOTTO bill that generated this investigation was made with intent to defraud collectors; for although it passed through the hands of a dealer, it was "sold" only as a curiosity and only at face value. It is my belief that there are no dollars of the series of 1957, 1957 A, 1957 B or 1963 that were produced without the motto. However, the 1935 G with serial numbers of D48 960 000J or lower were produced with- out the motto. All 1935 Hs should have the motto but they too could be altered. CONCLUSION: It is possible to remove printing from a piece of United States currency. Accordingly, all collectors are warned to be extremely cautious about paying a premium price for any piece of currency which purports to be an error with any portion of the printing missing. * The Trading Post * The members listed below are interested in trading notes. Please contact them directly if you are interested in trading. The fee is $1.00 per listing for two issues. Please note new categories. All future insertions should be sent directly to the Editor. 1. U. S. LARGE NOTES Rev. Frank H. Hutchins 924 West End Ave. New York 25, N. Y. A. L. Morsch 45 Cleveland Ave. Newark, N. J. 2. U. S. LARGE NATIONAL BANK NOTES 3. U. S. SMALL NOTES Rev. Frank H. Hutchins 924 West End Ave. New York 25, N. Y. 4. U. S. SMALL FEDERAL RESERVE NOTES 5. FOREIGN CURRENCY Donald B. Hoge 5743 Braesvalley Dr. Houston, Tex. 6. OBSOLETE PAPER MONEY (Colonials, Continental, Confederate, Broken Bank Notes, Scrip, etc.) C. J. Affleck 34 Peyton St. Winchester, Va. Claude W. Rankin 110 Anderson St. Fayetteville, N. C. Leonard M. Rothstein, M.D. 2409 Sylvale Rd. Baltimore, Md. 21209 George Wait P. G. Box 165 Glen Ridge, N. J. 7. MILITARY CURRENCY (War, Occupation, Concentration Camp and Emergency Issues) 8. FRACTIONAL CURRENCY Jerry Holcombe Box 325 Burnsville, N. C. 28714 9. MISMATCHED SERIAL NO. NOTES PAGE 18 Paper Money WHOLE NO. 13 A Confederate Vignette - Origin and History By Everett K. Cooper The "Railway Train" vignette used on the $100 1862 interest note, originally engraved and printed by Hoyer and Ludwig, had an interesting origin and wide usage. (Criswell T-39 and T-40). The lithograph firm of N. Currier (predecessor of Currier and Ives I at 152 Nassau St., New York, pub- lished a small folio print sometime during the period of 1838-1850 called "The Express Train" and is the same scene as appears on this Confederate note. The de- lineator of this print was a J. Schutz. This print was selected by print collectors as one of the "Best Fifty Small Folio." The principal variation of the currency from the Currier lithograph is the replacement of the background bridge in the print with a steamship in the $100 note. This particular vignette must have had great aesthetic appeal, for the following additional usage has been noted (and undoubtedly more will come to light) : BANK OF PORT JERVIS (PORT JERVIS, NEW YORK) A note of this bank, date unknown although it is believed to have been about the earliest to use this scene. Denomination also unknown. Bridge is shown in background and five telegraph poles show as compared to three on the Confederate. Train is supposed to have been an early model on the New York and Erie Railroad and is of an 1850 vintage. THE TIOGA COUNTY BANK (TIOGA, PENNSYLVANIA) Appears on a $100 note, and the engraving is dated by the words "Patented June 2nd 1857." The scene is not as complete as on the Currier and shows only the locomotive, tender and freight cars. VIRGINIA CENTRAL RAILROAD COMPANY (RICHMOND, VIRGINIA) $20 denomination, issued in 1861, and engraved and printed by the firm that did the Confederate note, Hoyer and Ludwig. STATE OF GEORGIA (MILLEDGEVILLE, GEORGIA) $1 Southern States note issued January 1, 1863, "en- graved by Howell." (Criswell No. 12). STATE OF NORTH CAROLINA (RALEIGH, NORTH CAROLINA) $20 Southern States note issued May 1, 1862; engraved by J. T. Paterson and Co., the alternate printer of the Confederate note. I Criswell No. 80). This same vignette also found its way onto at least two Southern bonds of the Civil War period. They are: CONFEDERATE STATES OF AMERICA $1000 bond of Act of August 19, 1861. The bond was lithographed by Hoyer and Ludwig. (Criswell Bond No. 83). STATE OF NORTH CAROLINA The history of this bond is uncertain. It was en- graved and printed to include this vignette, but it is not certain whether it was ever issued. However, the 50c North Carolina note of September 1, 1862, is found printed on the back of this bond. This provides a rather unorthodox use on currency of the famous vignette. Currier and Ives produced other lithograph prints quite similar to the "Express Train," mostly during the post- Civil War period: "American Express Train" published by N. Currier before Civil War; "American Express Train" published by Currier & Ives about 1865; Title unknown, circa 1870, similar to the Confederate train. WHOLE NO. 1 3 Paper Money PAGE 19 SECRETARY'S REPORT New Membership Roster Dealer or Collector C US $l C No. Name and Address 944 William Vasko, 4442 Bryn Mawr, Tucson, Arizona 85711 945 William Hornbeck, 812 S. Burnside Ave., Los Angeles, Calif. 90036 946 W. Terleski, 275 Highland Ave., Wallingford, Conn. 947 John M. Wallock, Rt. 78, Winchester, New Hampshire 948 M. Perlmutter, P. 0. Box 48, Watertown, Mass. 02172 949 Donald Allen, 210 Wilmac, Dwight, Illinois 60420 950 Carl F. Lundbom, 506 Melvin Dr., Greensburg, Pa. 15601 951 Philip J. Medicus, 35 East Main St., Elmsford, N. Y. 952 F. H. Laube, 407 Edgewood Dr., Freeport, Pa. 16055 953 Arthur C. Tishacek, 2601 S. 28th St., Milwaukee, Wis. 53215 954 Michael Maucieri, 1 Vincent Rd., Bronxville, N. Y. 955 Harry M. Coleman, P. 0. Box 3032, Tucson, Arizona 956 Roy E. Cox, P. 0. Box 4, Oneida, Arkansas 72369 957 Joseph J. Pelton, Rt. #1, Auburn, Illinois 62615 958 Phillip Rochlin, 426 Ottawa St., Washington, D. C. 959 Joseph E. Halicki, 3100 S. Michigan Ave., Chicago Illinois 60616 960 Dwight P. Teed, P. 0. Box 2070, Hobbs, New Mexico 88240 961 Stanley J. Solson, 10 St. Lukes Place, New York, N. Y. 10014 962 Maj. C. T. Gore, 11th Finance Section APO 403, New York, N. Y. 963 R. D. Rivera, P. 0. Box 205, Oberlin, Ohio 44074 964 Harry S. Naffin, 16 E. Main St., Schuylkill Haven, Pa. 17972 965 Mary Evelyn Rich, 3701 16th St., N. W. Apt. 302, Wash- ington, D. C. 20010 966 Joseph A. Persichetti, 2023 South 11th St. Philadelphia, Pa. 19148 967 Parker Kent James, Suite 1580 - 270 Park Ave., New York, N. Y. 10017 968 Arthur B. Dunning, 2333 26th St. West, Birmingham, Ala. 35208 969 0. H. Longuet, P. 0. Box 2491, Victoria, Texas 970 Michael Warmbier, Box 328, Rt. 2, Auburn, Michigan 48611 971 Henry J. Willette, 438 Wood St., Burlington, N. J. 08016 972 Marion K. Bero, 17 Brighton St., Massena, N. Y. 13662 973 Hillery L. Walker, 5131 Klump Ave., North Hollywood, Calf. 91601 974 W. H. Stricker, 812 McKinley Ave., Sand Springs, Okla. 975 Thomas Fred Teuchtler, 282 West 14th St., Deer Park, N. Y. 11729 976 E. B. Bloomquist, Box 234, Rhinelander, Wisconsin 54501 977 Richard Davidian, 431 Panorama Drive, San Francisco, Calif. 978 Alice J. Serra, RFD #2, Westfield, N. Y. 14787 979 Albert J. Jarosz, 3618 14th St., N. E., Washington, D. C. 20017 980 Dr. Stuart L. Danoff, MD, 144 Morgan St., Stamford, Conn. 06905 981 James Van Harvey, 1118 Phila Ave., Barnesboro, Pa. 982 Vincent 1. DeCarolis, 75 Pamela Ave., Froton, Conn. 06340 983 George J. Abere, Jr., 97-11 121st St., Richmond Hill, N. Y. 11419 Specialty & $5 C C US paper money C US large notes & coins C Silver certificates C US coins & currency C US large notes C C Paper, rolls, proofs, mint sets plus Confederate C C, D Small currency, Indian head, Lincoln cent C US past & current general C General C Stamp designs and currency C US and foreign C US currency C US currency C US small size currency C $1 & $5 silver certificates C Large & small US currency C US general C US small size & fractional C US currency including fractional C Civil War period C C Small size silver certificates & US notes C US & foreign C $1 & $2 American C US & Canada C, D Large C US coins & currency 1900-64 C National bank notes of Wisconsin C Star notes Small currency C US silver certificates C Colonial & Continental currency C US large bills C General C US small notes $1 thru $20 circulated & new PAGE 20 Paper Money WHOLE NO. 13 984 Victor R. Rollo, 1489 16th Ave., San Francisco, Calif. C US large bills 94122 985 Robert M. Edwards, 110 Mesa Grande Trailer Park, C Types—US Vandenberg Air Force Base, Calif. 93437 986 Everett K. Cooper, P. 0. Box 93, Mechanicsburg, Penna. C Confederate & Southern states 17055 987 Erwin Breuer, 80-C8 35th Ave., Jackson Heights 72, N. Y. C Paper money 988 Carr J. Phalen, 4639 East Lewis, Phoenix, Arizona C Small US currency (types) 85008 989 Richard F. Pollard, 101 East Mesa Dr., Hobbs, New C General Mexico 88240 990 George S. Nave, 15732 Harper Ave., Detroit, Michigan C US paper money 48224 991 Olga Hytha, 2011 Lakewood Drive, Wilmington, Illinois C, D All coins 60481 992 Samuel Simon, 2615 Avenue N., Brooklyn, New York C US coin & currency 11210 993 Herschel Hubbard, 609 East Flagg St., Aurora, Illinois C, D National bank notes 60505 994 Harry H. Schultz, Kremlin, Okla. 73753 C, D Oklahoma bank notes & small series 995 John M. Doyle, 1361 Manor Park, Lakewood, Ohio C 1935 series $1 silver certificates & fractional 44107 currency 996 Mrs. Adam Wohlfart, 20 Dale Drive, Oakdale, New C York 11769 997 F. W. Shuart, 5036 Alabama Avenue, Camp LeJune, C General foreign bank notes N. C. 998 John J. Harrington, Jr., 36 Oakview Ave., Maplewood, C N. J. 999 Julius A. Paskan, M. D., 9814 Washington Blvd., Culver C, D Gold certificates City, Calif. 1000 Dr. Conway A. Bolt, P. 0. Box 368, Marshville, N. C. C General 28103 1001 Raymond F. Clarke, 4066 Ellendale Rd., Drexel Hill, C US obsolete paper money Penna. 19026 1002 George F. Hensel, 749 South 4th Ave., Beech Grove, C Small size bills Indiana 46107 1003 Joe Shulman, 18847 Ballinger St., Northridge, Calif. C US paper money & coins 91325 1004 Maj. H. A. Lamberton, 4181 Lybyer Ave., Miami, Fla. C Broken bank (Southern) 33133 1005 J. A. Tournoux, 4003 Harbrook, S. W. Navaree, Ohio C $1 notes 1920 to date 4-4662 1006 Louis J. Sakal. 514 Grant Ave., Joliet, Illinois 60433 C US, Hungarian currency 1007 James J. Harley, Rockwell, Iowa 50469 C US coins & proofs 1008 Robert R. Riddle, 933 Delaware Ave., Lexington, Ky. C 40505 1009 A. Wilson Embrey, III, 816 William St., Fredericksburg, C Advertizing notes related to photography and Va. 22401 cameras 1010 Joseph T. Kivlin, 75 Prospect St., Gardner, Mass. 01442 C Small size notes 1011 Paul Oricks, 448 Neptune Ave., Brooklyn, N. Y. 11224 C 1012 Eddie H. Graves, 104 Onstott, Duquoin, Illinois 62832 C, D Large size US and small size nationals, frac- tional & CSA 1013 William R. Martin, Apt. D2 100 E. Glenolden Ave., C Small size notes Glenolden, Pa. 19036 1014 Richard Germana, 5538 Hollywood Ave., Maple Heights, C Obsolete currency Ohio 44137 1015 John C. Marinace, 17 Tuxedo Drive, RFD 2, Hunting- C Large US, fractionals, CSA ton. Long Island 11743 1016 Donald J. Mikalouski, 1362 West 93rd St., Cleveland. C Types l's, 2's, 5's Ohio 44102 1017 Mrs. Thomas Daley, 255 S. Oak St., Palatine, Illinois C Coins 60067 1018 Wm. Clark Kelly, 214 McDaniel Building, Springfield, C Fractional currency Missouri 1019 Mr. Albert Hawthorne, 915 Main St. E. #2, Hamilton, C World coins & paper money Ontario, Canada 1020 Christine A. McGuire, 322 Main St., Palmyra, N. Y. C NY State money particularly Civil War, cards, 14522 tokens, etc. 1021 Arnold Margolis, 120-16 234 St., Jamaica, N. Y. 11411 C Small, current $1 1022 Phillip E. Benedetti, P. 0. Box 1144, Darien, Connecticut C, 0 Colonial paper money 06821 WHOLE NO. 13 Paper Money PAGE 21 1023 G. L. Seaman, 1146 Clark St., Toledo, Ohio 1024 Earnest 0. Miller, 4010 Inman Ave., Tampa, Florida 1025 William Glower Pearce, 1008 W. Franklin St., PO Box 504, Quincy, Fla. 32357 1026 Gene Butcher, P. 0. Box 261, Berwyn, Illinois 60403 1027 William R. Hulse, 23 Griffin Ave., Westhampton Beach, N. Y. 11978 1028 Stephen Bogoff, c/o Hass Coin Co., 80 Nassau St., New York, N. Y. 10038 1029 Joseph M. Murphy, 4947 Poola St., Honolulu, Hawaii 96821 1030 Bill Callison, Strafford, Missouri 1031 James J. Reilly, 860 Fairmount Place, Bronx, N. Y. 10460 1032 E. F. Stewart, 571 Reddoch Drive, Jackson, Miss. 39211 1033 Joseph V. Pernicano. 58 Sonia Lane, Broomall, Pa. 19008 1034 Charles A. Orr, 721 E. Laurel St., Compton, Calif. 1035 Frank E. Grillo, 1151 Jackson Blvd., Clearwater, Florida 33515 1036 Lyle L. Thomas, 831 Harding St., Janesville, Wisc. 53545 1037 Paul D. Wedge, P. 0. Box 333, Pointe Pleasant, West Va. 25550 1038 W. C. McCurdie, 136 Seminole Drive, Pittsburgh, Pa. 15228 1039 Michael Justinger, 13377 Park St., Alden, N. Y. 14004 1040 Cedric C. Reames, 609 SW 60th St., West Des Moines, Iowa 1041 Bob McDaniels, 123 Moody Ave., Knoxville, Tenn. 37920 1042 Raymond Quiring, 1616 N. Martel Ave., #1, Los Angeles, Calif. 90046 1043 Myron Daniel Bergenskem, 309 State St., Madison, Wisc. 53703 1044 Rodney E. Wesner, 104 King St., Windsor, Missouri 65360 1045 Guyon W. Turner, General Delivery, Taos, New Mexico 87571 1046 Dr. Thomas A. McClure, P. 0. Box 494, Monett, Mis- souri 65708 1047 Capt. Carol M. Williams, USAF, Hqs. 7544th Combat Support Group APO 83, New York, N. Y. 09083 1048 W. James McFarland, MD, 208 Main St., Hornell, New York 14843 1049 Walter L. Mason, Jr., 12120 Dalewood Dr., Silver Springs, Md. 20902 1050 W. M. Bradley, 310 East Central, Miami, Oklahoma 74354 1051 N. R. Miller, 501 Roosevelt Dr., Shelbyville, Indiana 46176 1052 L. Sherwood Blasdel, 509V2 Polk St., Amarillo, Texas 79101 1053 Emmett Klopfenstein, 2863 North Durfee Ave., El Monte, Calif. 91723 1054 Nevill L. Brugh, RFD #1 Box 42, Troutville, Va., 24175 1055 Donald E. Sabo, 3495 Walters Ave., Northbrook, Illinois 60062 1056 Herman H. Snyder, 7117 Lynford St., Philadelphia, Pa. 19149 1057 A. L. Kropp, Sr., 2010 Hackberry Lane, Box 224, Tus- calloosa, Ala. 1058 D. Robert MacRae, 560 Kensington Rd., Orange, Calif. 92667 10159 John W. Swigart, 409 Penn St., Huntington, Pa. 1060 Robert W. Sell, 1513 18th Ave., South West, Great Falls, Montana 59401 1061 Donald E. Pisar, 3106 Oakdale Drive, Temple, Texas 76501 1062 Raymond B. Wellnitz, 2030 W. Charleston St., Chicago, III. 60647 C C Small size silver certificates C Confederate on individual states C, D $1 & $5 & low numbers C, D C Hawaii overprint currency C, D C C US currency C $1 notes Fractional currency C C Currency & gold coins C Small size currency Obsolete & CSA Large and small US currency C Small size US currency Obsolete currency, esp. Tenn. US currency C, D Egypt, Syria, Iraq C Silver certificates Small size paper C C US currency C US large & small to $20 South Carolina & foreign C, D Gold & big bills C Large size notes US currency Small size currency and investors C US & Canadian currency Fractional currency BV keys & complete sets C Alabama & Mississippi, old series & currency of national banks Small size notes US $1 & $2 C US Coins & paper money Fractional & large US C State & broken bank notes, confederate & US currency & current foreign notes Paper Money WHOLE NO. 13PAGE 2 2 1063 George W. Hart, 2916 30th St. SE Apt. 9, Washington, D. C. 20020 1064 Jerry Holcombe, P. 0. Box 325, Burnsville, N. C. 28714 1065 Lawrence G. Roberts, 62 Sweetwater Ave., Bedford, Mass. 01730 1066 David H. Christensen, 4309 East-West Hwy., Bethesda, Md. 20014 1067 Charles Baker, Parsons Hall 104 C Marietta College, Ohio 45750 1068 Mrs. Gill Brehm, 1129 South Tenth Ave., Sterling, Colo- rado 80751 1069 Michael J. Kotsobos, 6 Howard Ave., Binghamton, N. Y. 13904 1070 Artie G. Wells, 913 Mission Ridge Rd., Roseville, Ga. 30741 1071 John Porter, 593 Sturtevant Dr., Sierra Madre, Calif. 1072 P. Beaumont, P. 0. Box 182, Brea, Calif. 92621 1073 T. C. Oakley, P. 0. Box 909, Quincy, Illinois 1074 J. F. Eckman, 1370 Bertha, Ferndale, Michigan 48220 1075 Leonard R. Osman, 4425 Paseo Blvd., Kansas City, Mo. 64110 1076 George Garvin, 94 Atlantic Ave., Manasquan, N. J. 1077 Harold J. Williams, 2529 N. Menard, Chicago, Illinois 60639 1078 Roy G. Johnson, 248 Wood Street, Western Port, Md. 21562 1079 George L. Verrall, P. O. Box 566, State College, Miss. 39762 1080 Richard H. Schweers, 6138 Longmont Drive, Houston, Texas 77027 IC81 Victor R. Anderson, 28448 Patricia, Warren, Michigan 48092 1082 D. M. Keefer, 3510 NE Klickitat St., Portland, Oregon 97212 1083 George W. Ward, Box 452, Buhler, Kansas 67522 1084 Isidore J. Stadtherr, Kneipp Springs, Rome City, Indiana 1085 Carolyn G. Quagliana, 641 Amherst St., Buffalo, N. Y. 14207 1086 James R. Budd, 130 Chicago Avenue, Oak Park, Illinois 1087 Frank 0. Frazier, Sr., 1810 McClung St., Charleston, W. Va. 25311 1088 Clifford C. Snyder, MD, 1316 Alhambra Circle, Coral Gables, Fla. 33134 1089 Tborwald M. Bock, 8802 Quakertown Avenue, North- ridge, Calif. 91325 1090 American Bank Note Company, Attn. Mr. W. F. Col- clough, 70 Broad Street, New York, N. Y. 10004 1091 Richard E. Buenger, MD, 1753 W. Congress Pkwy., Chi- cago, Illinois 60612 1092 Frederick R. Baker, P. 0. Box I, Delaware, Ohio 43015 1093 Gorden M. Perisho, MD, 1416 Maine St., Quincy Illinois 62301 1094 Luther J. Hultquist, 50 Penna. Ave. East, Warren, Pa. 1095 Edgar W. Bliek, 11 Lake Crescent Drive, East Rochester, N. Y. 14445 1096 Dennis Forgue, P. 0. Box 750, Hillside, Illinois 1097 Dr. Jules Korman, 281 - 6th Ave., New York, N. Y. 10014 1098 Delmar C. Wise, 1904 NE Hancock St., Portland, Oregon 97212 1099 J. W. McGaughey, P. 0. Box 2676, Palm Beach, Fla. 1100 Perry L. Jones, 1807 Pearl St., Austin, Texas 78701 1101 Louis Hait, 125 West 21st. St., Lorain, Ohio 44052 1102 Paul W. Heckman, 138 N. Main St., Nazareth, Pa. 18064 1103 James A. Greene, 425 Grand Blvd., Boone, N. C. 28607 1104 Nathan L. Krasnov, 14 Harding Court, Southbridge, Mass. 01550 1105 William R. Geijsbeek, 7325 Rainier Ave., S. Apt. #103, Seattle, Washington 98118 C Coins, medals & paper C, D Fractional currency C Types, small notes C US currency C One dollar notes C C, D Current size currency C Type set C C US, Mexican, Canadian lc & US $1 C Small size of all kinds C Small notes C Old currency and type sets C Currency C C General C Small size US C Small size legal tender and silver certificates C $1 FRN and silver certificates C Foreign, wartime and emergency C General C Nickels and type coins C $1 -$2 -$5 US C Obsolete C Amateur C US all types C Small silver certificates, dollars, plate numbers & official numbers C C C C C US $1, $2, $5 & fractional C, D US $1, Confederate & obsolete C Small size US C Canadian & foreign crowns C C National Currency—Texas Banks C US C General C Small size US, North Carolina broken bank C Silver certificates C Small size US WHOLE NO. 1 3 Paper Money PACE 23 1106 Fred F. Heckman, 94 Varsity Road, Newark, N. J. 1107 Elwin L. Musser, 2820 S. Adams, Mason City, Iowa 50401 1108 Sherman E. Stambaugh, 414 N. Forest St,. York, Pa. 17404 1109 Elmo Burgess, 2104 E. 12th St., Chattanooga, Tenn. 37404 1110 John Crawford, 1525 Wabash Ave., Linwood. N. J. 08221 1111 A. K. Dole, 330 W. 5th St., Lewistown, Pa. 17044 1112 Gilbert G. Steinberg, 211 W. 57th St., New York, N. Y. 1C019 1113 Edward Zaremba, 118 Glassen Dr., Dallas, Texas 75428 1114 Bryan R. Burnett, 851 Cordova St., San Diego, Cal. 92107 1115 Maj. Gen. Kenneth Stiles USAFR, B1009, 1600 S. Joyce St., Arlington, Va. 22202 1116 William B. Davidson, 211 East Kline St., Girard, Ohio 44420 1117 T. H. Ingram, Jr., Box 815, Fairhope, Alabama 36532 1118 L. J. Kazor, 1306 Hollycrest Drive, Champaign, Illinois 1119 Herb Weston, 1222 Kansas Avenue, Topeka, Kansas 1120 Rev. Ralph R. Johnson, 402 W. Leeland Hgts. Blvd., Lehigh Acres, Florida 33936 1121 Philip E. Benedetti, Jr., P. 0. Box 1144, Darien, Conn. 1122 Robert F. Latta, P. 0. Box 87, Corinth, Mississippi, 38834 1123 Michael Miller, 80 South Penn Street, Manheim, Pa. 17545 1124 Floyd H. Clark, 4920 South Dixie Hwy., Lima, Ohio 45806 1125 Mrs. Sarah Gwin Kelsh, 1242 Ashbury Avenue, Evans- ton, Illinois 1126 Richard H. Alexander, 240 North Haruard St., Allston, Mass. 02134 1127 Harold Whitley, King Edward Hotel, Jackson, Mississippi 1128 Edward L. Stephens, 21 Rockrose Drive, Newark, Dela- ware 19711 1129 Robert Reynolds, 4106 Walnut Hill Lane, Dallas, Texas 75229 1130 Norman Martin, 3005 Unruh Avenue, Philadelphia, Pa. 19419 1131 V. J. Ashbaugh, Sr., 1022 Westwood Drive, Durham, N. C. 27707 1132 Edwin Scott, 2054 Bradley Road, Westlake, Ohio 1133 Howard C. Pardee, USCG Academy, Band, New London, Conn. 06320 1134 William F. Holmes, Campbells Run Road, McKees Rocks, Pa. 15136 1135 Richard Murcott, 1408 N. Jerusalem Road, North Mer- rick, NY 11566 1136 Joseph L. Diodata, 20 Baltimore Street, Hanover, Penn. 17331 1137 John L. Hooper, Box 144, Marietta, Ga. 30061 1138 Grant Woldum, Federal Reserve Exchange, Decorah, Iowa 52101 1139 Karl F. Heuer, Box 201, Lafayette, Calif. 94549 1140 Edwin R. Zeitz, 85 Judson Avenue, New Haven, Conn. 06511 1141 Howard Carter, MD, 9012 Cherokee Lane, Leawood, Kansas, 66206 1142 Charles A. Powell, 76 Cedar Lane, Clementon, New Jer- sey 1143 Joseph Gilio, 15 East Euclid St., Valley Stream, New York 11580 1144 Dayton H. Winter, 405 8th Ave., SW, Independence, Iowa 50644 1145 Robert C. Jones, 3634 Greenland Avenue NW, Roanoke, Virginia 24102 C US currency C Small size $1 & $2 C Small denominations C Small size US C Colonials and large size US C, D Fractional & large size US C, D Large size US C US C Confederate and broken bank C US C Small size US C US small size currency, Central & South American currency, & Canadian & British currency C Military scrip, depression scrip C, D Kansas nationals, large & small C US C, D US C Small size notes C C US $1 bills C SC Confederate & state notes; small, large V C Small currency, coins C, D Confederate & Mississippi Confederate C Small $1 C C Small size currency C Low-odd serial numbers C US coins C Small size notes C General C Current size notes (silver certificates & US notes) C, D Obsolete & broken bank notes C, D Large & small US currency C, D C, D $1, V bills & gold certificates C Silver certificates C National bank notes of Missouri C Numismatics in general C Small currency 1928 C C Silver certificates ($1) PACE 24 Paper Money WHOLE NO. 13 1146 William Fife, 962 Dingley Dell, Victoria, BC, Canada 1147 John R. Grubb, Box 39, Pomeroy, Pa. 19367 1148 Mrs. C. E. Shalley, 708 6th Street, Nevada, Iowa 50201 1149 William T. House, 8554 S. Essen Heights Ct., Baton Rouge, La. 70809 1150 Art Jones, 246 N. Broad Street, Elizabeth, New Jersey C, D Coins 1151 Mrs. Viola B. Stanley, 1523 Wellesley Avenue, W. Los C Angeles, Calif. 1152 0. V. Neilson, 1220 L Street Aurora, Nebraska 68818 C, D 1153 Charles E. Elliott, Route 1 Box 208, Ocean City, Md. 21842 1154 J. F. Pollard, P. 0. Box 567, Biscayne Annex, Miami, Florida 1155 Earle T. Myers, 507 N. 22nd St., Tampa, Florida 1156 Jerry Kadlicek, 1238 Gunderson Avenue, Berwyn, Illinois 60402 1157 Duane T. Lockwood, 2990 Indianola Ave., Columbus 2, Ohio 1158 Mrs. Casimir Jacobs, 3211 W. 116th Street, Cleveland, Ohio 44111 Reinstated Canadian C General C Coins & paper money C D US large size, fractional currency C, D Fractional large bills C Large size US currency D C Paper money 176 Arnold Perl, 305 East 10th St., New York 9, N. Y. C Colonial, encased postage & US small size notes Change of Name or Address 31 Leonard W. Stark, 112 South Dearborn, Chicago 60603 96 Gary E. Nathan, 516 E. Capitol Ave., Springfield, Illinois 97 Jim Grebinger, 164 N. Humphrey St., Oak Park, Illinois 60302 138 Donald B. Wentzel, P. 0. Box 467, Millville, New Jersey 08332 157 Edward L. Oschman, 135 Longvue Drive, Pittsburgh, Pa. 15237 158 Ethie P. Everest, 10622 Dunaway Drive, Dallas, Texas 75228 215 Harry Flower, 5200 West Harrison St., Chicago, III. 60644 224 Vernon L. Brown, 136 East 55th St., New York, N. Y. ICO22 239 A2C Robert P. Geden, AF 12685008, P. 0. Box 6256, Goodfellow AFB, Texas 76904 307 Marvin D. Ashmore, 2309 Second Street, Port Neches, Texas 309 B. R. Brady, 1802 Texas Ave., Lubbock, Texas 79401 342 Col. Grover C. Criswell, Jr., P. 0. Box 6206 St. Peters- burg, Fla. 358 Bill HaIliwell, 19500 Euclid Avenue, Euclid, Ohio 44117 380 Dr. Leonard M. Rothstein, 2409 Sylvale Road, Balti- more, Md. 21209 393 David W. Karp, 800 S. 4th Apt. 2201 Louisville, Ken- tucky 40203 405 Major Kenneth C. Levin, Hq. CMDT 3rd Inf. Div., APO New York, N. Y. 09036 412 Hal Woolway, 1025 Palms Blvd., Venice, Cal., 90291 422 Paul A. Younce, 5010 Daleview Ave., Temple City, Cal. 91780 423 George W. Killian, 162 Seneca Road, Rochester, New York 14622 424 Henry 0. Nouss, P. 0. Box 219, Boca Raton, Fla. 33432 440 Charles S. De Groat, 902 Maple, Apt. D, El Paso, Texas 486 Edward L. Farioly, 15 Golden Hill, Danbury, Conn. 504 Robert F. Evans, 2611 Springfield Drive, Indianapolis, Ind. 46208 515 Col. Thomas H. Bradley (Ret.), 3055 Larkin Road, Pebble Beach, Cal, 93953 538 Louis J. Rambo, 104 S. 5th Ave., Coatsville, Penn. 19320 547 Rudolph L. Leuckart, P. 0. Box 2598, East Cleveland, Ohio 44112 WHOLE NO. 13 Paper Money PAGE 25 Library Catalog The following books have been received and will be loaned to members upon request when accompanied by the sum shown to cover postage, insurance, etc. (If there is any excess it will be used to purchase new books for the library.) Books may be kept for three weeks and must be returned prepaid and insured. We thank the donors whose names appear in parentheses. If each member would donate one book, our library would benefit by several hundred books: Address: SOPMC Library, o/o Earl Hughes, R2, Mitchell, Ind. 47446. UNITED STATES OBSOLETE PAPER MONEY AND SCRIP C-1—Criswell, Grover C., and Clarence L., Criswell's Currency Series. Vol. 1. Confederate and Southern States Currency. Including the "Territory of Florida" and the "Republic and Government of Texas." 277 pp. Illus. 1957 (Charles F. Warren) 25c M-1—Marckhoff, Fred "Early Currency of the West." Illus. Frontier Times Magazine 1964. (Fred Marckhoff) 15c UNITED STATES NOTES AND FRACTIONAL CURRENCY R-1—Rothert, Matt. A Guide Book of United States Fractional Currency. 81 pp. Illus. 1963, two copies. (Charles Warren and Matt Rothert) 15c ASIA JAPAN S-1—Slabaugh, Arlie R. "Japanese Invasion Money". From Numismatic Scrapbook Magazine. 1962. 12 pp. Illus. (Charles F. Warren) 10c NUMISMATIC PUBLICATIONS F-I—Federal Brand Eagle. May 1964. 438 obsolete notes priced. (Earl Hughes) 10c S-2---Paper Money. Society of Paper Money Collectors. Winter 1962, Summer 1963, Fall 1963. 10c each. PRICED AUCTION CATALOGUES J-1—James, Inc. Unreserved Auction Sale. 1956. 467 lots obsolete notes, 296 lots U. S. paper money. (Earl Hughes) I 5c VIRGINIA BANK NOTES WANTED FOR MY COLLECTION BUCHANAN SAVINGS BANK MANUFACTURERS BANK OF KANAWHA VIRGINIA SALINE BANK, CLARKSBURG CULPEPER AGRICULTURAL & MANUFACTURING SOCIETY APPOMATTOX SAVINGS BANK FARMERS BANK OF FINCASTLE BANK OF MANASSA, FRONT ROYAL HARPERS FERRY SAVINGS INSTITUTION LEESBURG UNION COMPANY BANK OF ROCKRIDGE, LEXINGTON BANK OF BERKELEY IN VIRGINIA, MARTINSBURG WESTERN BANK OF VIRGINIA, PARKERSBURG BANK OF GILES, PEARISBURG PHOENIX BANK, RICHMOND BANK OF ROANOKE, SALEM ROANOKE SAVINGS BANK, SALEM EXCHANGE BANK OF VIRGINIA, SALEM ROCKINGHAM TURNPIKE COMPANY PENINSULA BANK, YORK TOWN JAMES RIVER BANK RICHARD JONES INTERESTING OFFERS Paper Money 1. Allied Military Currency, Okinawa B-Yen notes. 10 & 50 Sen, 1 & 5 Yen. Set of 4, Unc. $ .90. (10 sets for $7.50). 2. Netherlands Indies (Japanese Invasion). 1-5-10 cent, / & 10 Gulden. 5 diff. Unc. Only $ .50. 3. Germany. Reichsbanknotes and official govern- ment notes (no notgeld). Collections of 50 to 75 different available at 10c per note. Satisfaction guaranteed. Topical Notes 4. Christmas Notes. Austrian notgeld set of 6 with Santa Claus, candles, pine, snow, etc. All Unc. The set for only $ .50. 5. Religion. Large size notes from Konstanz, Ger- many portraying John Huss, reformer who an- ticipated Luther by 100 years. 2 diff. very inter- esting notes. Unc. $1.50. 6. Americana. Colorful little German notgeld with Uncle Sam carrying American flag! $ .20 (More interesting Topicals in stock) Literature 7. New "Encyclopedia of World Paper Money" by George J. Sten. 152 pages. 81/2x11. 600 notes and odd inscriptions reproduced. Authentic. $5.00 postpaid. S. Mimeographed Research Reports. Lots of good information. "German Paper Money," 10 pages. $ .50. "Japanese Invasion Paper Money." 10 pages. $ .50. SPECIAL. Either report FREE if ordered with new "Encyclopedia" described above. Dwight L. Musser Box 428, Indian Rocks Beach, Florida 33535 P. 0. BOX 1981 ROANOKE, VIRGINIA CONFEDERATE STATES ONDS FOR TRADE Criswell No. Affleck Douglas No. Amount Loan Act Redemption Date Type Of Bond Description 5 4 $ 50 2-28-61 9-1-71 Coupon Thick paper 5A 4 50 2-28-61 9-1-71 Coupon Thin fiber paper 6 3 100 2-28-61 9-1-71 Coupon Thick paper 6A 3 100 2-28-61 9-1-71 Coupon Thin fiber paper 7 2 500 2-28-61 9-1-71 Coupon Green Medallion 8 1 1.000 2-28-61 9-1-71 Coupon Green Medallion 13 10 1,000 5-16-61 9-1-72 Coupon Loading cotton 20 70 50 8-19-61 1-1-75 Coupon Thomas Bragg 28 39 100 8-19-61 7-1-68 Coupon Man's head 29 42 100 8-19-61 7-1-69 Coupon R. M. T. Hunter 38 69 100 8-19-61 1-1-75 Coupon R. M. T. Hunter 41 79 100 8-19-61 1-1-77 Coupon Gen. Beauregard 43A 86 100 8-19-61 1-1-78 Coupon No engr. name 47 98 100 8-19-61 7-1-80 Coupon R. M. T. Hunter 48 101 100 8-19-61 7-1-81 Coupon E. C. Elmore 51 23 500 8-19-61 7-1-65 Coupon Liberty seated 53 29 500 8-19-61 1-1-67 Coupon Woman & 3 children 61 53 500 8-19-61 7-1-72 Coupon J. P. Benjamin 63 61 500 8-19-61 7-1-73 Coupon S. R. Mallory 71 88 500 8-19-61 7-1-78 Coupon J. P. Benjamin 73 94 500 8-19-61 1-1-80 Coupon R. M. T. Hunter 79 25 1,000 8-19-61 7-1-66 Coupon Vignette man's head 99 90 1,000 8-19-61 7-1-79 Coupon Female seated 101 96 1,000 8-19-61 7-1-80 Coupon J. H. Reagan 102 99 1,000 8-19-61 7-1-81 Coupon C. G. Memminger 103 104 Written 8-19-61 Var. 61-81 Cert. Ship 104 104 Written 8-19-61 Var. 61-81 Cert. Ship 105 105 Written 8-19-61 Var. 64-81 Cert. Ship 106 193 Written 8-19-61 Var. 64-81 Cert. Ship 107 106 Written 12-24-61 1-1-72 Cert. Female-Horn of Plenty 108 107 Written 12-24-61 1-1-72 Cert. Litho. Boyer & Ludwig 109 108 Written 12-24-61 1-1-72 Cert. No engr. name 111 109 500 4-12-62 5-1-72 Coupon C. G. Memminger 120 123 100 2-20-63 7-1-68 Coupon Confed. Officer 121 121 500 2-20-63 7-1-68 Coupon Confed. Soldier 122 120 1,000 2-20-63 7-1-68 Coupon Stonewall Jackson 123 117 100 2-20-63 7-1-68 Coupon A. H. Stephens 123A 116 100 2-20-63 7-1-68 Coupon Litho. name bottom rt. 124 115 500 2-20-63 7-1-68 Coupon C. G. Memminger 125 113 1,000 2-20-63 7-1-68 Coupon Jefferson Davis 126 119 Written 2-20-63 7-1-68 Cert. Male reclining 127 124 Written 2-20-63 7-1-68 Cert. Mounted Overseer 130 125A 1,000 3-23-63 4-1-93 Coupon Custom House 130A 125 1,000 3-23-63 4-1-93 Coupon Eng. name, bottom left 135 132 Written 3-23-63 6 mo. Cert. Ship 138 134 1,000 4-20-63 6-1-83 Coupon James A. Sedden 139 196 Written 2-11-64 None Cert. Ships 140A Written 2-11-64 None Cert. Watermarked C. S. A. 141 140 100 2-17-64 7-1-84 Coupon Naval Battle 142 176 100 2-17-64 7-1-94 Coupon Equestrian Statue Washington 142A 177 100 2-17-64 7-1-94 Coupon Equestrian Second Series 152 187 100 2-17-64 2 yr. after Peace Cert. Stile 153 186 500 2-17-64 2 yr. after Peace Cert. Stile 154 185 1,000 2-17-64 2 yr. after Peace Cert. Stile 155 184 5,000 2-17-64 2 yr. after Peace Cert. Stile 162 155 100 2-17-64 On demand Cert. Pink paper 162A 154 500 2-17-64 On demand Cert. Pink paper 162C 152 2,000 2-17-64 On demand Cert. Pink paper 162D 151 3,000 2-17-64 On demand Cert. Pink paper 162G 148 20,000 2-17-64 On demand Cert. Pink paper COLLECTOR OF CONFEDERATE STATES BONDS, NOTES & STAMPS; COLONIAL & CONTINENTAL CURRENCY; BROKEN BANK & OBSOLETE SOUTHERN STATES NOTES. Charles J. Affleck 34 Peyton Street Winchester, Virginia PAPER MONEY PAPER MONEY OBSOLETE NOTES—Singles and uncut sheets, "over 200 differ- ent uncut sheets in stock." CONFEDERATE CURRENCY—price list by type number avail- able. FRACTIONAL AND CONTINENTAL NOTES UNITED STATES—LARGE AND SMALL CURRENCY FOREIGN NOTES We don't have everything but we have helped out many a collector and we are constantly buying any kind of paper money whenever offered at a reasonable price. We do have some price lists available free. Ask for them. BUT we would appreciate your want list by variety, city,state or country or catalog number if listed so wecan serve you better. We will then quote or send notes on approval. we also do some business in land grants, documents, stock certificates, early checks, medals, politicals, stamped envelopes, Lincolnia, maps, early newspap- ers, Civil War historical material. Correspondence invited. AMERICANA GALLERY H. F. JENNE 810 EAST BROWARD BLVD., FORT LAUDERDALE, FLORIDA Phones Office 52 3-0501 Res. 52 2-3630 area code #305 WE BUY SELL AND TRADE P. S. U. S. LARGE SIZE CURRENCY U. S. SMALL SIZE CURRENCY U. S. FRACTIONAL CURRENCY LIST AVAILABLE STAMP PLEASE THEODORE KEMM 915 West End Avenue New York 25, N. Y. WANTED FRACTIONAL CURRENCY SHIELDS Please describe shield, frame, and state price in first letter. $1000.00 Gold Certificate Signatures ... Series 1882 Lyons Roberts Fr. 1218 Condition — Fine to VF Bids Invited HARRY ANDERSON Write to: Mike G. Brownlee 1416 COMMERCE STREET DALLAS, TEXAS. 75201 A.C. 214 - RI 2-2526 10528 Frankmont St., El Monte, California Telephone: 213-448-2604 S. P. M. C. 793 { Interested parties, shown Note by appointment- , Security First National Bank, El Monte. NIOCtRTI 1.11+Ain.vac is or•Orn.0 .. kiN;t111110) sal:A U147031313 A U 37031313 A 1J U. S. Fractional Currency CONFEDERATE PAPER MONEY HERE'S TOM SETTLE SPECIALIZING IN U. S. CURRENCY 1861 TO DATE QUALITY PIECES REASONABLE PRICES See advertisements in January and February 1965 issues of Numismatist or send stamp for information Philip H. Chase A. 221 THOMAS WYNNE APTS. WYNNEWOOD, PA. SOPMC #79 ANA #4286 Probably have Largest Stock Paper Money available on East Coast United States today. Lists available and complete for a Ten Cent Stamp. Member S. P. M. C., A. N. A., R. C. D. A. and many others. Will buy or sell. Price your notes. I price mine. For List send to THOMAS J. SETTLE BOX 1173 CHURCH ST. STA. NEW YORK, N. Y. 10008 WANTED NATIONAL BANK NOTE in UNC or VF condition Wanted: Either a 5 dollar or a 10 dollar National Bank Note, series of 1902 with blue seal and with dates 1902-1908 on reverse (Design No. 122, Notes 587-594, or Design No. 123, Notes 613- 620) , or a 5 dollar or 10 dollar note, series 1902 with blue seal but without dates on reverse (Design No. 122, Notes 598-612 or Design No. 123, Notes 624-638): From any one of following UTAH banks: Charter No. Place Bank 2059 Salt Lake City Deseret NB 4310 Salt Lake City NB of the Republic 4341 Salt Lake City Utah State NB 4432 Salt Lake City American NB 9403 Salt Lake City Continental NB 9652 Salt Lake City Nat Copper Bank 11631 Bingham Canyon First NB If you are interested in selling a National Bank Note within the above description, please write and advise as to price and condition D. H. Christensen POST OFFICE BOX 85 SILVER SPRING, MARYLAND MAJOR ERROR NOTE MISMATCHED SERIAL NUMBERS CONDITION IS STRICTLY CRISP UNCIRCULATED. $95.00 EACH Can furnish consecutive numbers. Will trade for other currency needed, gold, proof sets, silver dollars, bu rolls. Send stamp for free currency list. Wanted-uncirculated small notes with low or unusual serial numbers. Will trade 0000FRN from Minn. plain note or stars from Boston, Atlanta, Minneapolis for other 0000notes plain or star or will sell $5 each. What do you have in bundles of 100 to sell or exchange? JAMES W. SEVILLE BOX 866, STATESVILLE, N. C. Member Society Paper Money Collectors #630 American Numismatic Association R-53295 Reference—Northwestern Bank, Statesville Phone—Area Code 704 873-7462 Scarce Texas Currency REPUBLIC OF TEXAS - ISSUED FROM AUSTIN S 1.00 Indian Brave Left Fine $10.00 Very Fine S15.00 5.00 Indian Brave Seated Fine 9.75 Very Fine 12.50 10.00 Hercules at Left Fine 9.75 Very Fine 12.50 20.00 Indian Left Fine 9.75 Very Fine 12.50 50.00 Steamship Fine 9.75 Very Fine 12.50 GOVERNMENT OF TEXAS 10.00 Ship Left-Lamar Signature Fine 9.75 Very Fine 13.50 Houston Signature Fine 12.25 Very Fine 15.75 50.00 Sailor & Flag-Lamar Signature Fine 9.75 Very Fine 13 50 Houston Signature Fine 12.50 Very Fine 15.75 CONSOLIDATED FUND OF TEXAS 1837 HOUSTON ISSUE 100.00 Criswell CF1 Very Fine 17.50 500.00 Criswell CF5 Very Fine 22.50 100.00 Criswell CF7 Very Fine 17.50 1000.00 Criswell CF12 Very Fine 27.50 AUSTIN ISSUE 100.00 Criswell CF14 Very Fine 25.00 TEXIAN NAVY NOTES - 1841 25.00 Criswell AW3 Fine 17.75 Very Fine 22.50 50.00 Criswell AW4 Fine 18.00 Very Fine 23.50 Complete set of Navy Notes AW 3 & 4 Fine 32.50 Very Fine 41.50 REPUBLIC OF TEXAS BONDS $320.00 Texian Loan, Criswell 36A, First Texas Bond. Signed by Stephen F. Austin Ext. Rare, small triangle cut cancel missing. Nice appearing - $112.50 $100.00 Republic of Texas, old mill at center Very Fine 17.50 500.00 Republic of Texas, Mercury & Sailor, Fine cut cancel 17.50 COUNTY NOTE - CIVIL WAR - UNCUT SHEET Washington County, Texas, Uncut Sheet of Four Notes, $.50; 1 00; 2.00; 3.00; Unc. Unsigned 17.50 Other Texas Items For Sale: Texas Residents Add 2% Sales Tax John N. Rowe III, P. 0. Box 2381, Dallas, Texas 75221 COPYRIGHT 1964 USE DONLON'S ZIP CODE NUMBERING SYSTEM AVOID CONFUSION FOR SMALL SIZE U. S. CURRENCY A. N. A. NO. 4295 LIFE MEMBER NO. 101 P. N. C. No. 70. CHARTER MEMBER NO. 74 SOCIETY OF PAPER MONEY COLLECTORS No Need To Ask "Do You Mean The Old Or New Number?" With a code system numbers will never change! Nc, duplication ever! Avoids the confusion of arbitrarily assigned, duplicated, hard to remember numbers. LEADING CATALOGUERS HAVE ADOPTED THIS WIDELY ACCLAIMED SYSTEM. Hundreds of unsolicited letters on file, attest to its popularity. FIRST USED IN THE YEAR'S BEST NUMISMATIC SELLER DONLON'S "SMALL SIZE UNITED STATES PAPER MONEY" published by Hewitt Bros. Price 1.10 prepaid. Usual quantity discounts to dealers and clubs. Always in the market for choice U. S. currency, large or small How about digging into the vault and selling me some of the following: Donlon 102-3 1928B 2.00 Legal Tender Woods-Mills Ex. fine or Unc. 105-8 1953 5.00 Legal Tender Priest-Humphrey, common but I can use some, unc. 201-4 1928C 1.00 Silver Cert. Woods-Woodin Ex. fine or Unc. 201-5 1928D 1.00 Silver Cert. Julian-Woodin Ex. fine or Unc. 201-6 1928E 1.00 Silver Cert. Julian-Morgenthau Ex. fine or Unc. 201-8 1935 1.00 Silver Cert. Julian-Morgenthau, Unc. 201-15 1935F 1.00 Silver Cert. Priest-Anderson. Unc 201-17 1935G w/m 1.00 Silver Cert. Smith-Dillon Unc. 205-6 1953 5.00 Silver Cert. Priest-Humphrey Unc. 210-1 1933 10.00 Silver Cert. Julian-Woodin Ex. fine or Unc. 210-4 1934B 10.00 Silver Cert. Julian-Vinson Ex. fine or Unc. A201 1935A 1.00 Silver Cert. African Invasion. Need 200 unc. Pay $500. per 100. R201 1935A 1.00 Silver Cert. Red "IC Ex. fine or Unc. Pay $30. Unc. S201 1935A 1.00 Silver Cert. Red "S" Ex. fine or Unc. Pay $20. Unc If you have any of the above, or any choice currency items to sell please quote your price. I pay well, but make no bids or offers. Appraisals at modest fee. HAVE YOU FOUND A NEW MEMBER FOR THE Society of Paper Money collectors? William P. Donlon P. 0. BOX 144 UTICA, NEW YORK 13503 Phone 315-735-2525 References: Oneida National Bank & Trust Co. Utica, New York.