What is the bland Allison act?

The Bland-Allison Act of 1878 was an act of the United States Congress that required the United States Treasury to purchase a set amount of silver each month and mint it into silver dollars. The act, named after its sponsors Representative Richard P. Bland of Missouri and Senator William B. Allison of Iowa, was a compromise between "hard money" advocates, who favored a gold-based currency, and "soft money " advocates, who favored a silver-based currency.

The Bland-Allison Act required the Treasury to purchase between $2 million and $4 million worth of silver each month, at the market price. The silver would then be minted into silver dollars, with each silver dollar containing 412.5 grains of pure silver. The act also authorized the Treasury to sell up to $2 million of silver coins each month.

The Bland-Allison Act had several effects on the United States economy. First, it increased the supply of money in circulation, which led to a rise in prices. Second, it contributed to a decline in the value of the silver dollar relative to the gold dollar. Third, it led to a trade deficit, as more silver was imported into the United States than was exported.

The Bland-Allison Act was controversial from the beginning. Critics of the act argued that it was inflationary and that it would benefit silver producers at the expense of other industries. The act was ultimately repealed in 1890, and the United States adopted the gold standard.