The Sherman Silver Purchase Act of 1890 was passed for several key reasons. Here are two correct answers for why it was enacted:
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Increase the Money Supply: The primary purpose of the Sherman Silver Purchase Act was to increase the money supply in the United States. At the time, there was a push for inflationary policies, as many believed that increasing the amount of money in circulation through the purchase of silver would help alleviate economic difficulties, such as deflation and the economic struggles faced by farmers and laborers.
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Support Silver Miners: The Act aimed to provide support to silver miners and the Western mining industry. By mandating the government to purchase significant amounts of silver, it created a market for silver, thus helping to stabilize and stimulate the mining industry, which was crucial for many Western states economically.
These two points encapsulate the motivations behind the passage of the Sherman Silver Purchase Act.
1 answer