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Money Circulating In The United States |
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This section is from the book "Banking Principles And Practice", by Ray B. Westerfield. Also available from Amazon: Banking principles and practice.
The total money in circulation in the United States on June 30 in recent years is shown in the following table:
|
1914 |
I9I5 |
1916 |
1917 |
1918 |
1919 |
1920 |
|
|
Gold coin ................... |
$ 611 |
$ 590 |
$ 637 |
$1,036 |
$1,114 |
$1,172 |
$ 834 |
|
Gold certificates ............. |
1,026 |
1,072 |
1,413 |
1,392 |
818 |
542 |
390 |
|
Standard silver dollars......... |
70 |
64 |
66 |
71 |
77 |
81 |
134 |
|
Silver certificates ................ |
478 |
481 |
489 |
477 |
379 |
169 |
118 |
|
Subsidiary silever ................ |
159 |
159 |
171 |
193 |
216 |
232 |
251 |
|
United States notes .............. |
337 |
332 |
341 |
335 |
340 |
332 |
337 |
|
Notes of 1890 ................... |
2 |
2 |
2 |
I |
I |
1 |
1 |
|
Total...................... |
$2,683 |
$2,700 |
$3,119 |
$3,505 |
$2,945 |
$2,529 |
$2,066 |
|
Federal reserve notes ............... |
$ 80 |
$ 173 |
$ 544 |
$1,713 |
$2,493 |
$3,122 |
|
|
Federal reserve bank notes..... |
12 |
15 |
163 |
199 |
|||
|
National bank notes .............. |
$ 715 |
785 |
728 |
698 |
703 |
649 |
696 |
|
Total ................................... |
$ 715 |
$ 865 |
$ 901 |
$1,254 |
$2,531 |
$3,305 |
$4,0l8 |
|
Grand Total Circulation ............... |
$3,398 |
$3,565 |
$4,020 |
$4,759 |
$5,476 |
$5,841 |
$6,084 |
|
Per Capita Circulation ........... |
$34.35 |
$35.44 |
$39.28 |
$45.74 |
$50.81 |
$54.28 |
$56.79 |
The decrease in the silver certificates and the increase in the federal reserve bank notes are explained by the operations of the Pittman Act described above. The increase in gold coin and bullion is due to the heavy importations from abroad during the war,
|
United States Notes |
Treasury Notes of 1890 |
Federal Reserve Notes |
Federal Reserve Bank Notes |
|||||
|
1018* |
1920+ |
1918* |
I920+ |
1918* |
I920+ |
1918* |
l920+ |
|
|
1's |
$ 37.134 |
$141,359 |
$ 331 |
$ 321 |
$132,141 |
|||
|
2's |
35.009 |
50,279 |
207 |
200 |
33.976 |
|||
|
5's............................... |
202,187 |
118,436 |
456 |
416 |
$ 274.094 |
$ 484,639 |
$ 6,776 |
28,899 |
|
10's |
49,092 |
21,071 |
484 |
404 |
612,456 |
935.827 |
5.091 |
4.367 |
|
20's |
10,410 |
5,769 |
218 |
177 |
584,168 |
1,283,628 |
3.716 |
3,540 |
|
50's |
1,227 |
999 |
9 |
8 |
224,320 |
287,227 |
200 |
|
|
100's |
2,002 |
1,586 |
88 |
73 |
152,540 |
257,515 |
||
|
500's |
1,509 |
1,146 |
63 |
31.116 |
||||
|
1,000's |
9.097 |
7.023 |
56 |
105,653 |
||||
|
5,000's |
6,780 |
|||||||
|
10.000's |
10 $347.681 |
13.490 |
||||||
|
Total outstanding |
$347,681 |
$1,858 |
$1,659 |
$1,847,580 |
$3,405,877 |
$15,585 |
$203,125 |
|
|
Less: Unknown and destoryed |
1,000 |
1,000 |
||||||
|
Held in Treasury................ |
6,744 |
9.381 |
6 |
2 |
29.982 |
27.698 |
100 |
2,490 |
|
Held by federal reserve banks |
106,186 |
256,176 |
||||||
|
Held by federal reserve agents |
||||||||
|
Redeemed but not assorted by denominations |
141 $15,343 |
1,900 |
||||||
|
Net circulation |
$339,936 |
$337,299 |
$1,851 |
$1,656 |
$1,711,411 |
$3,122,001 |
$198,735 |
|
* These data are taken from the United States Treasury Annual Report on Finances, 1918, pp. 564-567;
Data taken from monthly statement issued from the Treasurer's Office, the Treasury Department. Includes $59,671 fractional parts of.national bank notes.
|
National Bank Notes |
Gold Certificates |
Silver Certificates |
Total |
|||||
|
Denominations |
1018* |
I920+ |
1918* |
l920+ |
1918* |
1920+ |
1918* |
I920+ |
|
1's |
$ 342 |
$ 342 |
$218,713 |
$ 60,745 |
$ 256,521 |
$ 334,910 |
||
|
2's............................... |
163 |
163 |
50,731 |
16,267 |
86,111 |
100,886 |
||
|
5's............................... |
115,186 |
126,163 |
105,693 |
32,143 |
704,696 |
790,699 |
||
|
10's.............................. |
295.646 |
297,747 |
$ 334,178 |
$ 196,631 |
13,001 |
5,240 |
1,307,951 |
1,461,291 |
|
20's |
248,931 |
239,557 |
246,290 |
167,098 |
13,468 |
5,783 |
1,107,203 |
1,705,555 |
|
50's |
80,250 |
30,406 |
73,160 |
56,089 |
7,307 |
3.795 |
336,274 |
378,726 |
|
100's............................. |
34,661 |
31,445 |
103,354 |
80,031 |
266 |
236 |
292,913 |
370,888 |
|
500's............................. |
88 |
88 |
27,313 |
18,195 |
15 |
13 |
28,926 |
50,555 |
|
1,000's |
21 |
21 |
131,823 |
109,285 |
16 |
15 |
141,020 |
222,053 |
|
5.000's |
142,650 |
141,960 |
142,650 |
148,740 |
||||
|
10.000's |
725,710 |
606,370 |
725,710 |
619,870 |
||||
|
Total outstanding |
$725,647 |
$725,993+ |
$1,784,480 |
$1,375,659 |
$409,215 |
$124,240 |
$5,132,048 |
$6,184,236+ |
|
Less: Unknown and destroyed |
1,000 |
1,000 |
||||||
|
Held in Treasury................ |
20,068 |
22,691 |
747,970 |
791,078 |
27,408 |
5,718 |
832,281 |
859,062 |
|
Held in federal reserve banks |
106,186 |
256.176 |
||||||
|
Held by federal reserve agents .... |
208,278 |
194,058 |
208,278 |
194,058 |
||||
|
Redeemed but not assorted by denominations |
1,442 |
6,956 |
1.583 |
8,856 |
||||
|
Net circulation |
$704,137 |
$696,345 |
$828,231 |
$390,522 |
$381,806 |
$118,521 |
$3,982,718 |
$4,865, 83 |
* These data are taken from the United States Treasury Annual Report on Finances, 1918, pp. 564-567. + Data taken from monthly statement issued from the Treasurer's Office, the Treasury Department, + Includes $59,671 fractional parts of national bank notes.
to the production of the mines, and to the reduction of plate and the like. The reason for the decrease in the gold certificates and the increase in the federal reserve notes will be explained in Volume II, Chapter XII. The increase in subsidiary silver current is explained by the greater population, the higher price level, and the fractional prices charged for various services and goods. Certain changes in marketing methods, such as the use of slot automatic machines, also occasion greater need for small change; in prosperous times more people have money on their persons, particularly small coins. The decrease in notes of 1890 has been explained. It is evident from the table that the money in circulation is fast becoming the various forms of bank notes.
The paper currency of each denomination outstanding on June 30 and its location, as well as other statistical data, are given in the preceding table.
 
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banking principles, metallic money, coinage, credit, bank operations, note holders, bank notes, depositors, cash reserve, marginal utility, price, federal reserve system, financial institutions, finance
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