From Plurality of Issue to Monopoly and Back: 1850–60

André A. Villela ()
Additional contact information
André A. Villela: Fundação Getulio Vargas

Chapter Chapter 2 in The Political Economy of Money and Banking in Imperial Brazil, 1850–1889, 2020, pp 13-59 from Palgrave Macmillan

Abstract: Abstract This chapter covers the main events in Brazil’s monetary and banking history between 1850 and 1860. It starts with the abolition of the slave trade and the ensuing freeing up of capital, which was ultimately recycled by an incipient banking system consisting of deposit and discount banks that also issued short-term script (vales) used as money. In chartering a semi-official bank in 1853 (the third Bank of Brazil), entrusted with a monopoly of note issues, the government sought to regulate the money supply and the rate of exchange. The authorization granted in 1857–8 to new banks of issue to operate in competition with the Bank of Brazil coincided with the spread of the 1857 financial crisis in Brazil. This led to an orthodox reaction against plurality of note issue.

Keywords: Money and banking; 1850–60; Vale-issuing banks; Third Bank of Brazil; The 1857 crisis; Orthodox reaction (search for similar items in EconPapers)
Date: 2020
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:psitcp:978-3-030-32774-3_2

Ordering information: This item can be ordered from
http://www.palgrave.com/9783030327743

DOI: 10.1007/978-3-030-32774-3_2

Access Statistics for this chapter

More chapters in Palgrave Studies in the History of Finance from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().