Shinplaster
Encyclopedia
Shinplaster was a common name for paper money
of low denomination circulating widely in the frontier economies of the 19th century. These notes were in various places issued by bank
s, merchants, wealthy individuals and associations
, either as banknote
s, or circulating IOUs. They were often a variety of token
intended to alleviate a shortage of small change in growing frontier regions. They were sometimes used in company shop
economies or peonages in place of legal tender. An example of this type of operation was the Reynolds Bros. Mill and Logging operation in Reynoldston, NY
which issued its own shinplasters or scrip money in the 1880s to its mill workers and loggers. Original shinplasters from the Reynolds Bros. still exists and can be seen at the Reynoldston, New York website. The shinplaster could only be used in the Reynolds Bros. Company Store. By 1890, the United States Government made them stop this practice. The employees of the Reynolds Bros. strongly resented this practice and a song about this hardship has survived today.
According to the Oxford English Dictionary
, the name comes from the quality of the paper, which was so cheap that with a bit of starch it could be used to make paper-mâché-like plasters to go under socks and warm shins.
A book roughly contemporary with the term, John Russell Bartlett's The Dictionary of Americanisms, defines a shinplaster as "A cant term for a bank-note, or any paper money. It probably came into use in 1837, when the banks suspended specie payment, and when paper money became depreciated in value." Then the book quotes the New York Tribune of December 3, 1845: "The people may whistle for protection, and put up with what shinplaster rags they can get."
circulated widely, at times making up the bulk of cash in circulation, especially in the 1840s and 50s.
In some places they formed the core of a company shop economy (Truck system
), circulating as private currencies
. They were often of such low quality that they could not be hoarded, and shopkeepers off the property would not take them, as they would deteriorate into illegibility before they could be redeemed.
There are tales of unscrupulous shopkeepers and others baking or otherwise artificially aging their calabashes given as change to travelers so that they crumbled to uselessness before they could be redeemed.
Paper Money
Paper Money is the second album by the band Montrose. It was released in 1974 and was the band's last album to feature Sammy Hagar as lead vocalist.-History:...
of low denomination circulating widely in the frontier economies of the 19th century. These notes were in various places issued by bank
Bank
A bank is a financial institution that serves as a financial intermediary. The term "bank" may refer to one of several related types of entities:...
s, merchants, wealthy individuals and associations
Voluntary association
A voluntary association or union is a group of individuals who enter into an agreement as volunteers to form a body to accomplish a purpose.Strictly speaking, in many jurisdictions no formalities are necessary to start an association...
, either as banknote
Banknote
A banknote is a kind of negotiable instrument, a promissory note made by a bank payable to the bearer on demand, used as money, and in many jurisdictions is legal tender. In addition to coins, banknotes make up the cash or bearer forms of all modern fiat money...
s, or circulating IOUs. They were often a variety of token
Token coin
In the study of numismatics, tokens are coin-like objects used instead of coins. The field of tokens is part of exonumia. Tokens are used in place of coins and either have a denomination shown or implied by size, color or shape...
intended to alleviate a shortage of small change in growing frontier regions. They were sometimes used in company shop
Truck system
A truck system is an arrangement in which employees are paid in commodities or some currency substitute , rather than with standard money. This limits employees' ability to choose how to spend their earnings—generally to the benefit of the employer...
economies or peonages in place of legal tender. An example of this type of operation was the Reynolds Bros. Mill and Logging operation in Reynoldston, NY
Reynoldston, New York
-Location of Reynoldston:Reynoldston is a former settlement in Upstate New York or sometimes referred to as Northern New York . Located in the Township of Brandon in Franklin County, Reynoldston was about 1400 feet above the St. Lawrence River Valley. It is in the northern foothills of the...
which issued its own shinplasters or scrip money in the 1880s to its mill workers and loggers. Original shinplasters from the Reynolds Bros. still exists and can be seen at the Reynoldston, New York website. The shinplaster could only be used in the Reynolds Bros. Company Store. By 1890, the United States Government made them stop this practice. The employees of the Reynolds Bros. strongly resented this practice and a song about this hardship has survived today.
According to the Oxford English Dictionary
Oxford English Dictionary
The Oxford English Dictionary , published by the Oxford University Press, is the self-styled premier dictionary of the English language. Two fully bound print editions of the OED have been published under its current name, in 1928 and 1989. The first edition was published in twelve volumes , and...
, the name comes from the quality of the paper, which was so cheap that with a bit of starch it could be used to make paper-mâché-like plasters to go under socks and warm shins.
A book roughly contemporary with the term, John Russell Bartlett's The Dictionary of Americanisms, defines a shinplaster as "A cant term for a bank-note, or any paper money. It probably came into use in 1837, when the banks suspended specie payment, and when paper money became depreciated in value." Then the book quotes the New York Tribune of December 3, 1845: "The people may whistle for protection, and put up with what shinplaster rags they can get."
United States
Shinplasters circulated in the United States from 1837 to 1863, during the period known as the "Free Banking Period."Canada
In Canada, the term shinplaster was widely used for 25-cent paper monetary notes which circulated in the 19th century and early 20th century. The first design was printed on March 1st, 1870 and the final design was firstprinted on July 2nd, 1923Australia
Shinplasters or calabashes (as they were known in southern Queensland), were a feature of the vast Squatters' pastoral enterprises, and often circulated in the towns of the bush alongside and in place of legal tender. These private IOUsIOU (debt)
An IOU is usually an informal document acknowledging debt. An IOU differs from a promissory note in that an IOU is not a negotiable instrument and does not specify repayment terms such as the time of repayment. IOUs usually specify the debtor, the amount owed, and sometimes the creditor...
circulated widely, at times making up the bulk of cash in circulation, especially in the 1840s and 50s.
In some places they formed the core of a company shop economy (Truck system
Truck system
A truck system is an arrangement in which employees are paid in commodities or some currency substitute , rather than with standard money. This limits employees' ability to choose how to spend their earnings—generally to the benefit of the employer...
), circulating as private currencies
Private currency
A private currency is a currency issued by a private organization. It is often contrasted with fiat currency issued by governments or central banks. In many countries, the issue of private paper currencies is severely restricted by law....
. They were often of such low quality that they could not be hoarded, and shopkeepers off the property would not take them, as they would deteriorate into illegibility before they could be redeemed.
There are tales of unscrupulous shopkeepers and others baking or otherwise artificially aging their calabashes given as change to travelers so that they crumbled to uselessness before they could be redeemed.
- As commerce and trade grew in centres such as Toowoomba, more and more calabashes were issued, and more and more merchants, squatters and others engaged in transactions were forced to give their 'paper' in change or as payment for goods and services.