The paper money issued during the period of Kuomintang rule was called "legal tender", which was issued by the Central Bank, Bank of China, Bank of Communications and Farmers Bank of China, so it was called "traffic ticket" and "central ticket". The main purpose of the national government to issue legal tender is to exchange silver dollars (modern ocean) in the hands of ordinary people. Through exchange, the national government obtained a large number of silver dollars, and replacing coins with paper money is also conducive to the development of commodity economy. When legal tender was first issued, it was basically equivalent to silver dollar. You can buy a cow at 1937, 100 yuan (now the price of a cow is definitely not just 1000 yuan, and high-quality cattle can be sold for 5,000 yuan). During the War of Resistance against Japanese Aggression period, the Japanese invaders exchanged counterfeit money for legal tender of the people of China, and then exchanged legal tender for foreign exchange, showing the value of legal tender at that time. During the civil war, due to the huge military expenditure, the national government's fiscal deficit was staggering. In order to make up the deficit, the national government increased exorbitant taxes and miscellaneous fees, and also issued paper money indiscriminately, so inflation was inevitable. 1947, 100 yuan can't even buy a box of matches. At that time, there were five banknote printing plants in Shanghai, which could print160,000 yuan in one minute. It's not enough to make them day and night. They have to print them in Britain and America. Later, they had to issue100000 and100000 banknotes. In order to save the economic crisis, in August 1948, the national government implemented the "currency system reform" and "price limit policy". The main contents are as follows: First, issue gold coins, and 1 gold coins will be converted into 3 million yuan of legal tender, which will be fully converted into legal tender within a time limit; Two, people's gold and silver foreign currency exchange, overdue exchange confiscated. This has caused great disasters to the people, especially the national bourgeoisie. The circulation of gold increased sharply, reaching 1949 yuan in June, and gold became waste paper like legal tender. House prices in Shanghai have risen by 128 times in five months. The ratio of legal tender to USD: time 1 USD converted into legal tender1948178,000 yuan1948 August1kloc-0/088,000 yuan The circulation of legal tender in the National Government before the Anti-Japanese War/kloc-. References exceeding 2 trillion yuan 1947 40 trillion yuan 1948 660 trillion yuan:

Middle school history textbook