Monetization and Growth in Colonial New England, 1703-1749 / Peter L. Rousseau, Caleb Stroup.

Format:

Book

Author/Creator:

Rousseau, Peter L.

Contributor:

National Bureau of Economic Research.

Stroup, Caleb.

Series:

Working Paper Series (National Bureau of Economic Research) no. w16190.

NBER working paper series no. w16190

Language:

English

Physical Description:

1 online resource: illustrations (black and white);

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 2010.

Summary:

We examine econometrically the real effects of paper money's introduction into colonial New England over the 1703-1749 period. Departing from earlier analyses that focus primarily on the depreciation of paper money in the region, we show that expansion of the money stock promoted growth in modern sector activity and not the other way around. We also find that bills emitted for seigniorage purposes had a positive effect on the modern sector, while bills issued through loan banks did not.

Notes:

Print version record

July 2010.