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A re-examination of the empirical evidence concerning colonial Virginia's paper money, 1755-1774: a comment on Grubb

Published online by Cambridge University Press:  08 January 2020

Ronald Michener Open the ORCID record for Ronald Michener [Opens in a new window]
Ronald Michener*
Affiliation:
University of Virginia
*
Dr R. Michener, Department of Economics, University of Virginia, Monroe Hall, 248 McCormick Rd, Charlottesville, VA22903, USA: email: [email protected]
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Abstract

Farley Grubb's recent article in the Financial History Review contains econometric results designed to support his theoretical propositions concerning the paper money of the American colonies. This comment demonstrates that some of his results are spurious and the rest are based on using incorrect testing procedures and incorrect critical values of test statistics.

Keywords

asset moneybills of creditzero-coupon bondspaper moneycolonial Americacolonial Virginia

JEL classification

E51: Money Supply • Credit • Money Multipliers E42: Monetary Systems • Standards • Regimes • Government and the Monetary System • Payment Systems E59: Other G12: Asset Pricing • Trading Volume • Bond Interest Rates N41: U.S. • Canada: Pre-1913 N21: U.S. • Canada: Pre-1913 N11: U.S. • Canada: Pre-1913
Type
Articles
Information
Financial History Review , Volume 26 , Issue 3 , December 2019 , pp. 389 - 399
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Copyright
Copyright © European Association for Banking and Financial History e.V. 2020

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