Most rural communities attempt to use the …

Years: 1785 - 1785
Most rural communities attempt to use the legislative process to gain relief.

Petitions and proposals are repeatedly submitted to the state legislature to issue paper currency.

Such inflationary issues will depreciate the currency, making it possible to meet obligations made at high values with lower-valued paper.

The merchants, among them James Bowdoin, are opposed to the idea, since they are generally lenders who stand to lose from such proposals.

As a result, these proposals are repeatedly rejected.

Governor Hancock, accused by some of anticipating trouble, resigns citing health reasons in early 1785.

When Bowdoin (a perennial loser to Hancock in earlier elections) is elected governor this year, matters become more severe.

Bowdoin steps up civil actions to collect back taxes, and the legislature exacerbates the situation by levying an additional property tax to raise funds for the state's portion of foreign debt payments.

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