A rare talk on history of US currencies, capital markets

Origins of the Capital Markets, by David Cowen, President of the Museum of American Finance

host by New York Public Library Business Centre, Aug 12 2025

Video recording https://nypl.zoom.us/rec/play/M_ygYp8IGof6K2fQ0bD2Lf4T6eacxiStgT6amNiT8J2S06bZg79Q--K1WzCCQk5PCrrEcNkKMHFZGTS2.Lq9IpyY1LDEe580J

During Revolutionary War times, credit to the Continental Army could pay off in bonds or real assets. Below is one that pays off in corn, beef, sheep’s wool, sole leather.

Alexander Hamilton proposed to assume all debt from the Revolutionary War times, had the vision for a mixed economy, set up some national bank, conducted open window operations (via the bank) for example to buy bonds with cash, therefore adjusting the bonds’ supply and prices.

Cement to Our Union: Hamilton’s Economic Vision https://www.minneapolisfed.org/article/2008/cement-to-our-union-hamiltons-economic-vision

The ensuing 30-32 Great Recession was caused by credit (therefore money) being withdrawn by the banks from the economy, rather than meltdown of stocks. (It was already a high inflationary era since the 1920s. The central banks’ balance sheets stuffed with purchased assets. The industrial nations momentarily went back to the gold standard in the 1920s before giving it up when the war came, again.)

JFK’s account number at the National City Bank of New York is 1. The Secret Service agents would fill in blank checks to buy grocery for Jackie.

Financial History Magazine at https://fhmagazine.org. An 2025 issue featured an article on Buffett’s investment in Disney in the 1960s.