Seattle University School of Law Digital Commons Faculty Scholarship 2014 The Anti-Federalists’ Toughest Challenge: Paper Money, Debt Relief, and the Ratification of the Constitution George Van Cleve Follow this and additional works at: https://digitalcommons.law.seattleu.edu/faculty Part of the Law Commons Recommended Citation George Van Cleve, The Anti-Federalists’ Toughest Challenge: Paper Money, Debt Relief, and the Ratification of the Constitution, 34 J. Early Republic 529 (2014). https://digitalcommons.law.seattleu.edu/faculty/823 This Article is brought to you for free and open access by Seattle University School of Law Digital Commons. It has been accepted for inclusion in Faculty Scholarship by an authorized administrator of Seattle University School of Law Digital Commons. For more information, please contact
[email protected]. The Anti-Federalists’ Toughest Challenge Paper Money, Debt Relief, and the Ratification of the Constitution GEORGE WILLIAM VAN CLEVE During the mid-1780s many American states actively man- aged their economies in the face of widespread financial and social insta- bility following the Revolutionary War. Seven states authorized paper money emissions, and there were unsuccessful efforts to obtain them in others. Several states adopted extensive debtor-relief measures. Some historians of these state anti-recession measures conclude that such efforts to fight deflation, increase money circulation, and protect debtors were beneficial for various reasons. But despite that, the Constitution, as contemporaries understood it, abrogated state powers to issue paper money or provide debtor relief such as property tender laws in Article I, Section 10. Terry Bouton writes that Section 10 ‘‘left a host of popular policies in ruins—all in less than fifty words.