Elbridge G. Spaulding
Encyclopedia
Elbridge Gerry Spaulding (February 24, 1809 - May 5, 1897 was an American lawyer, banker, and politician. He supported the idea for the first U.S. currency not backed by gold or silver, thus helping to keep the Union economy afloat during the Civil War
.
with Harvey Putnam
. Later that year he was admitted to the bar in Genesee County, New York
. In 1834, he moved to Buffalo, and became a clerk in the office of Potter & Babcock, leading attorneys in the city.
In March 1836, he was appointed City Clerk of Buffalo. On September 5, 1837, he married Antoinette Rich (d. 1841). In 1841, Spaulding was elected Alderman of the Third Ward, and served as Chairman of the Executive Committee. On September 5, 1842, he married Nancy Selden Strong (d. 1852), and they had three children. He was one of the original men that helped to get the University at Buffalo established in 1846. He was a member of the original council of the university, and was still a member till he died in 1897.
He was Mayor of Buffalo in 1847, and was a member of the New York State Assembly
in 1848. While in the Assembly, he secured passage of a law authorizing the formation of gas light corporations in the State. The Buffalo Gas Light Company was the first such created, and he became a director and stockholder of it.
He was elected as a Whig
to the 31st United States Congress
, serving from 1849 to 1851.
He was New York State Treasurer
from 1854 to 1855, and was elected again to the U.S. House of Representatives as a Republican
, serving in the 36th
and 37th United States Congress
es from 1859 to 1863. Spaulding was a congressman who saw a problem coming and had a solution ready. It was he who figured out that the American government needed to print money to pay for the Civil War
. It was regarded as economic heresy then, but without it the country might not have survived. Such an idea was then dismissed by some as “fiat money
,” money that is money not because it is backed by gold or silver, but because some government says it is money. He was chairman of a House Ways and Means subcommittee when the government was in danger of running out of money to pay for the war. He wrote a law that allowed the government to print money and declare it had to be accepted as legal tender.
T. J. Stiles wrote in his biography of Cornelius Vanderbilt, “The First Tycoon”, that Spaulding “performed a true miracle: he conjured money out of nothing, and so contributed more toward the Union victory (and the future of New York’s financial sector) than any single battlefield victory.” Stiles continued, “If Wall Street had saints, then the college of financial cardinals would surely canonize Elbridge G. Spaulding.”
In 1862, he drafted the Legal Tender Act, and the National Currency Bank Bill. At the time, the only circulating paper money was notes issued by banks. Those notes were supposed to be convertible into gold, although the banks had been forced to suspend such conversions at the end of 1861. There was no central bank. The bill passed Congress not because it was thought to be good policy absent a crisis, but because it was necessary. “It was at once a loan to the government without interest and a national currency, which was so much needed for disbursement in small sums during the pressing exigencies of the war,” Spaulding wrote years later in his book, “History of the Legal Tender Paper Money.”
In 1864, he organized the move of the Farmers & Mechanics' National Bank from Attica, N.Y., to Buffalo. On May 2, 1864, he married Delia Strong, his second wife's sister. In 1869, he published History of the Legal Tender Paper Money Issued During the Great Rebellion. The boathouse
he constructed on his "River Lawn" estate on Grand Island
, known as the Spaulding-Sidway Boathouse
, was listed on the National Register of Historic Places
in 1998.
He died on May 5, 1897 in Buffalo, New York
. He was buried at the Forest Lawn Cemetery, Buffalo
.
American Civil War
The American Civil War was a civil war fought in the United States of America. In response to the election of Abraham Lincoln as President of the United States, 11 southern slave states declared their secession from the United States and formed the Confederate States of America ; the other 25...
.
Biography
He was born on February 24, 1809 in Summer Hill, New York, the first of nine children of Edward Spaulding and Mehitable Spaulding. In 1829, he began the study of law in the office of Fitch & Dibble at Batavia, New York. During this time he served as recording clerk in the county clerk's office to meet his expenses. In 1832, he completed his studies in Attica, New YorkAttica, New York
Attica is the name of some places in the U.S. state of New York:*Attica , New York, in Wyoming County*Attica , New York, in Wyoming and Genesee Counties...
with Harvey Putnam
Harvey Putnam
Harvey Putnam was a United States House of Representative from New York. Born in Brattleboro, Vermont, he attended the common schools, studied law, was admitted to the bar in 1816 and commenced practice in Attica, New York in 1817...
. Later that year he was admitted to the bar in Genesee County, New York
Genesee County, New York
Genesee County is a county located in Western New York, United States. As of the 2010 census, the population was 60,079. Its name is from the Seneca Indian word Gen-nis'-hee-yo meaning "The Beautiful Valley." Its county seat is Batavia.- History :...
. In 1834, he moved to Buffalo, and became a clerk in the office of Potter & Babcock, leading attorneys in the city.
In March 1836, he was appointed City Clerk of Buffalo. On September 5, 1837, he married Antoinette Rich (d. 1841). In 1841, Spaulding was elected Alderman of the Third Ward, and served as Chairman of the Executive Committee. On September 5, 1842, he married Nancy Selden Strong (d. 1852), and they had three children. He was one of the original men that helped to get the University at Buffalo established in 1846. He was a member of the original council of the university, and was still a member till he died in 1897.
He was Mayor of Buffalo in 1847, and was a member of the New York State Assembly
New York State Assembly
The New York State Assembly is the lower house of the New York State Legislature. The Assembly is composed of 150 members representing an equal number of districts, with each district having an average population of 128,652...
in 1848. While in the Assembly, he secured passage of a law authorizing the formation of gas light corporations in the State. The Buffalo Gas Light Company was the first such created, and he became a director and stockholder of it.
He was elected as a Whig
Whig Party (United States)
The Whig Party was a political party of the United States during the era of Jacksonian democracy. Considered integral to the Second Party System and operating from the early 1830s to the mid-1850s, the party was formed in opposition to the policies of President Andrew Jackson and his Democratic...
to the 31st United States Congress
31st United States Congress
The Thirty-first United States Congress was a meeting of the legislative branch of the United States federal government, consisting of the United States Senate and the United States House of Representatives. It met in Washington, D.C. from March 4, 1849 to March 3, 1851, during the last 17 months...
, serving from 1849 to 1851.
He was New York State Treasurer
New York State Treasurer
The New York State Treasurer was a state cabinet officer in the State of New York between 1776 and 1926. During the re-organization of the state government under Governor Al Smith, the office was abolished and its responsibilities transferred to the new Department of Audit and Control headed by the...
from 1854 to 1855, and was elected again to the U.S. House of Representatives as a Republican
Republican Party (United States)
The Republican Party is one of the two major contemporary political parties in the United States, along with the Democratic Party. Founded by anti-slavery expansion activists in 1854, it is often called the GOP . The party's platform generally reflects American conservatism in the U.S...
, serving in the 36th
36th United States Congress
The Thirty-sixth United States Congress was a meeting of the legislative branch of the United States federal government, consisting of the United States Senate and the United States House of Representatives. It met in Washington, D.C. from March 4, 1859 to March 4, 1861, during the third and fourth...
and 37th United States Congress
37th United States Congress
The Thirty-seventh United States Congress was a meeting of the legislative branch of the United States federal government, consisting of the United States Senate and the United States House of Representatives. It met in Washington, D.C. from March 4, 1861 to March 4, 1863, during the first two...
es from 1859 to 1863. Spaulding was a congressman who saw a problem coming and had a solution ready. It was he who figured out that the American government needed to print money to pay for the Civil War
American Civil War
The American Civil War was a civil war fought in the United States of America. In response to the election of Abraham Lincoln as President of the United States, 11 southern slave states declared their secession from the United States and formed the Confederate States of America ; the other 25...
. It was regarded as economic heresy then, but without it the country might not have survived. Such an idea was then dismissed by some as “fiat money
Fiat money
Fiat money is money that has value only because of government regulation or law. The term derives from the Latin fiat, meaning "let it be done", as such money is established by government decree. Where fiat money is used as currency, the term fiat currency is used.Fiat money originated in 11th...
,” money that is money not because it is backed by gold or silver, but because some government says it is money. He was chairman of a House Ways and Means subcommittee when the government was in danger of running out of money to pay for the war. He wrote a law that allowed the government to print money and declare it had to be accepted as legal tender.
T. J. Stiles wrote in his biography of Cornelius Vanderbilt, “The First Tycoon”, that Spaulding “performed a true miracle: he conjured money out of nothing, and so contributed more toward the Union victory (and the future of New York’s financial sector) than any single battlefield victory.” Stiles continued, “If Wall Street had saints, then the college of financial cardinals would surely canonize Elbridge G. Spaulding.”
In 1862, he drafted the Legal Tender Act, and the National Currency Bank Bill. At the time, the only circulating paper money was notes issued by banks. Those notes were supposed to be convertible into gold, although the banks had been forced to suspend such conversions at the end of 1861. There was no central bank. The bill passed Congress not because it was thought to be good policy absent a crisis, but because it was necessary. “It was at once a loan to the government without interest and a national currency, which was so much needed for disbursement in small sums during the pressing exigencies of the war,” Spaulding wrote years later in his book, “History of the Legal Tender Paper Money.”
In 1864, he organized the move of the Farmers & Mechanics' National Bank from Attica, N.Y., to Buffalo. On May 2, 1864, he married Delia Strong, his second wife's sister. In 1869, he published History of the Legal Tender Paper Money Issued During the Great Rebellion. The boathouse
Boathouse
A boathouse is a building especially designed for the storage of boats, normally smaller craft for sports or leisure use. These are typically located on open water, such as on a river. Often the boats stored are rowing boats...
he constructed on his "River Lawn" estate on Grand Island
Grand Island, New York
Grand Island is a town and an island in Erie County, New York, USA. As of the 2010 census, the town population is 20,374. This represents an increase of 9.41% from the 2000 census figure . The current town name derives from the French name La Grande Île, as Grand Island is the largest island in...
, known as the Spaulding-Sidway Boathouse
Spaulding-Sidway Boathouse
Spaulding-Sidway Boathouse is a historic boathouse located on Grand Island in Erie County, New York. The boathouse was built as part of the "River Lawn" estate of Elbridge G. Spaulding . It is a Late Victorian Stick / Queen Anne style frame structure constructed in 1870. The boathouse is a two...
, was listed on the National Register of Historic Places
National Register of Historic Places
The National Register of Historic Places is the United States government's official list of districts, sites, buildings, structures, and objects deemed worthy of preservation...
in 1998.
He died on May 5, 1897 in Buffalo, New York
Buffalo, New York
Buffalo is the second most populous city in the state of New York, after New York City. Located in Western New York on the eastern shores of Lake Erie and at the head of the Niagara River across from Fort Erie, Ontario, Buffalo is the seat of Erie County and the principal city of the...
. He was buried at the Forest Lawn Cemetery, Buffalo
Forest Lawn Cemetery, Buffalo
Forest Lawn Cemetery in Buffalo, New York was founded in 1849 by Charles E. Clark. It covers over 250 acres and over 152,000 are buried there. Notable graves include U.S. President Millard Fillmore, singer Rick James, and inventor Lawrence Dale Bell...
.
External links
Retrieved on 2009-04-11- Congressman Elbridge G. Spaulding
- Google Book The New York Civil List compiled by Franklin Benjamin Hough (pages 35f and 306; Weed, Parsons and Co., 1858)
- Elbridge G. Spaulding Mayors of Buffalo, New York, USA at The Buffalonian
- Spaulding Quadrangle - Namesake University of Buffalo