US Coinage - Post WWI (1921 and 1922)

[Higashiyama]

1921 and 1922 were odd years for US coinage.

 

Huge numbers of silver dollars minted in both years, but very few other coins.

 

In fact, in 1922, the were no nickels, dimes, quarters, or half dollars made, and very few cents.

 

I assume that the low quantities minted (other than dollars) was due to severe recession following WWI, and limited need for new money.

 

But, is there any connection between the high figures for silver dollars, and the low figures for all other coins?

 

Any comments on this unusual era would be much appreciated.

[jtryka]

I am not really an expert in that era, but if you look at the gold mintages as well, they minted more than 4 million Saints, and no other gold denominations for circulation. It seems to me that a focus on the larger denominations was a response to the recession, with lots of currency pumped into the system (remember that gold hardly circulated, but was a requirement for issuing new notes, whether gold certs, FRNs, USNs, or National Bank notes). I suppose that the silver dollars circulated more, but even there it seems like a move to increase money supply, and increase inflation and spark the economy. Silver dollars totalled almost $135 million, but the Saints totalled over $90 million too.

[EZ_E]

.... I suppose that the silver dollars circulated more, but even there it seems like a move to increase money supply, and increase inflation and spark the economy.

 

Excellent answer.The twenties was one of the most prosperous decades of the US which, of course, came crashing down in Oct. 1929. This happened since stocks were sold on margin with a 24 hour loan recall.

Since so much time was invested in the "new" Morgan and Peace dollars, this left little time for mintage of low denomination coins.

[DWLange]

The small mintages of cents through halves during those years was due to a post-war recession. The large mintages of dollars had nothing to do with the economy, as these coins were mandated by the Pittman Act of 1918, and they simply sat in vaults. Gold coinage likewise was unrelated to the domestic economy, as nearly all of these coins were shipped overseas or held in banks and the U. S. Treasury as bullion reserves. Gold coins didn't circulate in everyday commerce after 1917, though they could be obtained from banks at any time. The sole exceptions were quarter eagles, which were constantly in demand for gift giving purposes. Though technically available at face value, they were usually rationed by banks and often required a tip or some other favor to the cashier.