Show why bills were called continental currency continental currency flourished during the revolutionary war period this was the term applied to 40 issues of bills of credit or paper money which were put out by authority of the continental congress from fram june 22 1775 to no november avem vem ber 29 1779 in all this currency amounted to a face value of recalls a writer in the cleveland plain dealer the bills were promises to pay based upon the pledge of congress to redeem them in spanish milled dollars or the value thereof in gold or silver no nd date for their redemption demp tion was given the reason for their issuance was that the congress had no fiscal powers and no authority to levy taxes there was moreover not enough faith in the prospects of the revolution being successful tor for the congress to be able to borrow much money the notes being unsecured by any real value quickly depreciated and at the beginning of 1779 they were able to pass for only one eighth of their face at the end of the year their ratio to specie was 38 to 1 in 1780 the congress itself recognized its inability to maintain their value and provided for their acceptance in place of silver at a rate of 40 to 1 in 1781 the ratio fell to to 1 and in 1790 by the terms of a funding act of that year provision was made tor for redeeming them up to a certain date at that ratio those which were unredeemed were thereafter without value and no longer circulated |