THE PAST 
9 
revenue legislation of the Spanish-American War. 
Certain issues of short-term obligations, otherwise 
designated but in no manner different from cer 
tificates of indebtedness, are included in the fore 
going without however permitting this extension 
to justify the inclusion of other emissions made 
under these alternate terms, of essentially different 
character. 5 The detailed circumstances attending 
these several issues are outlined in the standard 
histories 6 of our national financing, and it will only 
be necessary in this connection to refer to the salient 
features which distinguished purpose and result. 
(A) With bitter experience in the use of co 
lonial and continental paper currencies fresh in 
mind, the Federal Convention of 1789 debated long 
and acrimoniously the proposal to deny both States 
and Union authority “ to emit bills of credit.” 7 
Eventually the States were specifically prohibited, 
and Congress was empowered only in the general 
grant “ to borrow money on the credit of the United 
States.” An express authorization was stricken 
from the committee report, and the record of the 
accompanying debate shows that reluctance “ to tie 
the hands of the Legislature ” as to full borrowing 
5 Thus the “ treasury notes of 1890,” issued under the silver 
purchase clause of the Sherman Act of 1890 have not been 
included. 
6 Knox, “ United States Notes ” (third edition revised, New 
York, 1892); Bayley, “History of the National Loans of the 
United States ” (Tenth Census of the United States, vol. vii, 
Washington, 1884) ; Bullock, “ Essays on the Monetary His 
tory of the United States” (New York, 1900); Dewey, “Fi 
nancial History of the United States” (New York, 1903). 
7 Knox, chap. i-v.