Taxes did not spark the American Revolution, Broken Money did. And yes, Bitcoin could have fixed it.

The Currency Act of 1764

The Currency Act prohibited the American colonies from issuing their own money requiring all transactions to use gold, silver, or British currency.

The colonies faced a chronic shortage of hard currency (gold and silver) and British script since much of it flowed to Britain to pay for imports and taxes from things like the stamp act. To cope, many colonies issued their own money backed by future taxes or land, for local trade.

The Currency Act essentially created a liquidity crisis by making the colonial currencies illegal. Overnight, their money disapeared and colonists could not pay taxes, settle debts, or conduct trade. They didnt have enough "legal currency" in circulation.

The act forced colonies to rely on British currency systems, reinforcing economic dependence and subservience. It stripped colonies of the ability to manage their own monetary policies, and placed financial control in the hands of British officials and wealthy British merchants.

It wasn't the taxes, it was the money...

HAPPY INDEPENDANCE DAY!!!

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Discussion

Reminds me of African Colonies and the CFA situation with France today.

If true, where was the problem for the american colonies? And how about the theory of money neutrality (prices adjusts for money supply)? I mean if the amount of money in circulation reduced in the colonies exclusively due to trade imbalances, its value relative to other items should have increased, thus neutralizing the scarcity effect.

I think a deflationary money should work like that.

Or am I wrong? nostr:nprofile1qqsg86qcm7lve6jkkr64z4mt8lfe57jsu8vpty6r2qpk37sgtnxevjcpz4mhxue69uhkummnw3ex2mrfw3jhxtn0wfnsz9rhwden5te0wfjkccte9ehx7um5wghxyecpr3mhxue69uhkummnw3ezucnfw33k76twv4ezuum0vd5kzmqug4hxr nostr:nprofile1qqsw4v882mfjhq9u63j08kzyhqzqxqc8tgf740p4nxnk9jdv02u37ncpzemhxue69uhhyetvv9ujuurjd9kkzmpwdejhgqg4waehxw309ahx7um5wghx6ctvd9hzummwdsq3gamnwvaz7tmwdaehgunnv968vcfwdejhg34qm72

Otherwise NeoKeynesians, MMTheorists should be right saying that monetary inflation "stimulates growth".

Taking a shot in the dark but I'm guessing trade wasn't free between the colonies, england, and the rest of the world. So capital could only flow in from the crown. In that case the British could buy at below market rates from the colonies and steal all the value. Controlling the currency was another method of extracting value