Currency Regulations

Currency Regulations (Necessary and Proper Clause)

Reinforced by the necessary and proper clause, the powers ” 'to lay and collect taxes, to pay the debts and provide for the common defence and general welfare of the United States,' and 'to borrow money on the credit of the United States and to coin money and regulate the value thereon . . . ,' ” 1 have been held to give Congress virtually complete control over money and currency. A prohibitive tax on the notes of state banks,2 the issuance of treasury notes impressed with the quality of legal tender in payment of private debts 3 and the abrogation of clauses in private contracts, which called for payment in gold coin,4 were sustained as appropriate measures for carrying into effect some or all of the foregoing powers.

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References

This text about Currency Regulations is based on “The Constitution of the United States of America: Analysis and Interpretation”, published by the U.S. Government Printing Office.

[Footnote 1] Juilliard v. Greenman, 110 U.S. 421, 449 (1884).

[Footnote 2] Veazie Bank v. Fenno, 75 U.S. (8 Wall.) 533 (1869).

[Footnote 3] Juilliard v. Greenman, 110 U.S. 421 (1884). See also Legal Tender Cases (Knox v. Lee), 79 U.S. (12 Wall.) 457 (1871).

[Footnote 4] Norman v. Baltimore & Ohio R.R., 294 U.S. 240, 303 (1935).

Tables of Contents

• Currency Regulations and other Topics in the Contents – Article 1 of the U.S. Constitution
• U.S. Constitutional Law Category
• List of amendments to the U.S. Constitution
• Currency Regulations and other Topics in the Constitution Contents
• Interpretation of the U.S. Constitution (Table of Contents)
• Clauses of the Constitution (Table of Contents)