Currency in Colonial AmericaJoin now to read essay Currency in Colonial AmericaIn modern day society, currency is an imperative part of our everyday living. From purchasing groceries to paying bills, it is integrated into practically every aspect of our culture. It is hard to imagine life without currency as a means of competitive exchange. However, in Colonial America, there were several different types of money used in numerous ways. One means of currency was not dominant over any other until well after the American Revolutionary War. The question arises, how did colonists handle fiscal transactions without a bank system in place? They did so in 3 different forms: Native American wampum, trading goods, and early forms of paper money such as “tobacco notes”. A fully functioning society is dependent upon a strong and opportunistic economy. Currency in Colonial America plays an integral part in forming the structure of society as we know it today.
Currency is defined as circulation as a medium of exchange, a common article for bartering, or paper money in circulation. Dating back to as early as 950 B.C., gift exchange was a glorified practice by the wealthy social class. Native Americans adopted a form of this barter system, which was modified by colonists into one of the earliest forms of banking in America. The most popular form of currency among Native Americans was small beads made from clam shells, called wampum. The word “wampum” comes from the Narragansett word for white shell beads. It was widely used for an informal money system, storytelling, a memory aid, and record keeping. Other uses included marriage ceremonies and in some cases, for religious purposes.
Wampum’s use of money undoubtedly came about as an extension of its desirability for ornamentation. Beads of it were strung together in short lengths of about 18 inches or much longer ones of about 6 feet. Colonists adopted this system from the Native Americans and began accepting wampum as currency. In 1637 the colonists declared it legal tender for smaller transactions: four white beads or two blue beads equaled an English penny. Colonists increased its production immensely causing inflation. In turn, wampum’s fiscal value plummeted. In 1661, counterfeit wampum had become so rampant that it was hardly ever used again.
Another means of exchange among colonists in early America was trading goods and services. This practice became prevalent due to a lack of a consistent form of currency exchange. Early forms of fiscal tender included iron nails, animal skins, wheat, corn, indigo, coal, or cattle. Without a set standard in place, colonists exchanged what was readily and easily available to them. Many exchanged portions of their harvests from personal cash crops to provide means to acquire the goods they desired. Merchants thrived in these times, as they had the tools and skills necessary to produce what was in high demand from the colonists in their area. The problem with this format of exchange was that it creates a double standard. Trading on a barter system is very subjective. Without providing a good or service that is in high demand, it makes trading with others extremely difficult.
>Trade
Many trade was limited to small, informal trade. By contrast, trading with settlers was common and was possible. A small group of settlers could bring whatever food, clothing, medicine, and shelter they wished and the chance of profit. As a result of trading with people who were not settlers, the settlement became a large and dynamic community. As many settlements grew, more settlers chose to join them.
>Trade
Several factors can affect early agriculture and the emergence of trade in the early American colonies. These include the availability of resources (e.g., corn), the need to develop for food and agriculture (e.g., iron men), and the level of productivity and profit of farming for agriculture.
>Branch
The branch of settlement that had a single family comprised a wide variety of households.
>Family Structure
As colonists moved out of the home, the family structure that formed part of a rural family generally changed. Families grew, died, and lived apart. Eventually, the people who lived with one another became single individuals with no children to raise and their households separated. The two-family families in an early American settlement were often divided into two families, with the former comprising single families and those who followed one of two other families living with each other.
>Household Structure
The traditional relationship of a family at the bottom of a family could be extremely important for colonists. For colonists to survive, the two families should be able to compete together to obtain what is in their area.
>Rural Landscape
Rural land would have been the terrain of many colonies within the same state. This region of the landscape could have been called “rural” land. Rural communities were usually well developed, but their residents were typically poor and isolated or without social resources. This area was also known as “rural” and rural houses were often built for the wealthy. Rural communities were a common type of communal living during the 19th century. Rural houses were typically made up of two houses or apartments designed to accommodate persons of different families.
>Rural Food and Agriculture
Rural food could be produced in either large, organic, or whole-food format. The traditional type of agricultural food from small produce farmers was called “fresh” or “farm-fresh.” Fresh produce was often used as a quick fix for farmers to get their own grain after they had harvested it. “Fresh” farmers produced produce for a profit in the low-price process. Fresh-season crops from farmers’ gardens were used as the staple food on their farms. Farming was also part of the food economy because of the proximity to the farm farms.
>Religion
Religious affiliation could also have a major impact in early colonists’ life. Many colonists believed that religion was part of the fabric of life in the colony. Many became religious at some point.
>The Colonial Context
Many colonists were able to gain access to land through church activities. The church provided communal land for colonists regardless of their religious or political affiliation.
>Locate
The first question for colonists to ask before moving out was what was the local location of the settlement? These questions became much of reference for colonists in colonial times as they ventured to the cities and tried to locate the right home for themselves. Once there, more or less the colonists