Law , 17.02.2022 22:27

You are a member of the legislature of a large Midwestern state. Your state is running short of money to carry out some much needed programs. As a possible solution you suggest that the state government issue its own currency to people who work for it. The currency can be exchanged for dollar bills at a rate that is to be fixed by the state the first of every month. Is your idea constitutional?

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Answer: No, since the US Constitution gives the right to create only one currency that will have value anywhere in the United States. If it had been before the adoption of the constitution, then it would have been possible, since then each state had the right to have its own currency.

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