A short history of Rhode IslandGreene, George Washington
History
A short history of Rhode Island
Greene, George Washington
Rhode Island -- History
The war continued. Spain against whom it had been first directed
formed an alliance with France, and the colonies were called upon for
new exertions. Ten more cannon were mounted in Fort George which was
enlarged to receive them. Ten new field-pieces were ordered. A brick
magazine was built for the safe keeping of powder and the supply of
military stores was increased in every county. To secure promptness
of action the Governor and Council together with the field officers
and captains were formed into a permanent council of war. By a former
act of the Assembly the men were allowed to choose their own officers.
This act was repealed and the right of choice vested in the Legislature
where the charter placed it. The drill system was incomplete. A more
thorough one was established and two more companies were raised in
Newport. In the midst of these warlike preparations the rights of
conscience were respected and those who were scrupulous about the
shedding of blood were employed as scouts and guards, or required to
furnish horses in case of sudden alarm, or do any other duty consistent
with their religious scruples.
The House of Commons ever watchful over the interests of British
commerce, began to look with suspicion on the frequent "emissions of
paper currency in His Majesty's colonies in America, in which Rhode
Island has too large a share." An address to the King was followed
by instructions to the colonial governors from the Board of Trade to
transmit to the home government "an account of the tenor and amount of
the bills of credit" issued by each colony, the times when they fell
due, the number actually outstanding and their value in "money of Great
Britain, both at the time such bills were issued and at the time of
preparing the account." The Governor's opinion was also required upon
the still more difficult subject of "sinking and discharging all such
bills of credit."
Governor Ward replied on the part of Rhode Island by an elaborate
history of the colonial currency and an able exposition of the causes
and necessities from which it arose. Unfortunately these necessities
still existed, and without heeding the warning implied by the action
of the House of Commons the Assembly "created a new bank of twenty
thousand pounds for ten years at four per cent." The paper issued
under this act was called the new tenor, because unlike the earlier
issues the bills bore on their faces the exact amount of gold and
silver they were supposed to represent. Silver on the new tenor notes
was rated at six shillings and ninepence sterling, gold at five pounds
an ounce, and thus the value of a new tenor bill was four times that of
an old tenor bill. The seeds of bankruptcy were thickly sown in both.
Public-domain text, read in full here on John Shaqi.
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