THE  PAST

21

never  end.”  In  economic  effect,  their  service  as
currency  “  expanded  prices,  and  increased  the  speculation ­
  and  extravagance  always  incident  to
war.”  24
There  remain  the  authorization  of  1898  and  the
emission  of  1907.  Of  these  the  issue  of  1907  was
again  monetary  rather  than  fiscal  in  character  —  a
consequence  less  of  a  depleted  treasury  than  of  a
rigid  bond  secured  circulation,  whereby  an  acutely
strained  credit  market  sought  relief  in  otherwise
unnecessary  debt  creation.  Only  in  the  Spanish-American
  War  authorization  of  1898  did  the
Treasury  contemplate  a  short  time  negotiable  obligation ­
  in  the  manner  familiar  to  fiscal  practice  and
sanctioned  by  fiscal  theory  —  anticipation  of  the
proceeds  of  a  funded  loan  designed  to  meet  extraordinary ­
  expenditures.
24  Dewey,  “  Financial  History  of  the  United  States,”  p.  317.