Assignat Text

Assignat

1062

Paper money based on the confiscation of church lands to liquidate the national debt. Originally not legal tender, the assignats were supposed to carry interest, but far too many assignats were issued, thereby undermining the currency, jump- starting inflation, and encouraging the hoarding of specie. Only in May 1797 were the assignats withdrawn from circulation in the hopes of returning to metallic currency and greater economic stability.