Fake Money Built America

# Summary In 19th-century America, counterfeit money played a crucial role in the nation's economic development, particularly in regions where genuine currency was scarce. Stephen Mihm's book "A Nation of Counterfeiters" reveals that counterfeiting was so widespread and tolerated—especially in the Midwest and West—that it functioned as an informal banking system, with shopkeepers often preferring convincing counterfeits of reputable banks over genuine notes from unreliable ones. The federal government's lack of responsibility for policing the money supply and the proliferation of nearly 1,000 legitimate banks each issuing their own notes created an environment where the line between counterfeiters and bankers became blurred.