Colonial Exchange.

During the Revolutionary War the United States had experienced high inflation and economic insecurity. These problems are natural in wartime; in the new republic they were made worse by the absence of any single standard of currency. Merchants engaged in foreign trade dealt in British pounds, Spanish dollars, Portuguese Johannes, or French guineas, while colonies also issued paper money, either dollars or pounds. In addition, private banks or other businesses issued notes, which circulated as currency. With over 70 percent of the people making their living as farmers, most of the American economy was conducted in barter. Farmers traded part of their crop for necessary goods and services, and women weaved or spun to produce clothing for their families and additional trade items. Thus, the new republic had a bewildering variety of coins, paper currency, barter items, and redeemable certificates in circulation...