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Why was proof set production resumed in 1936?
291fifth
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I don't recall ever hearing why proof set production was resumed after a 20 year hiatus. Does anyone know the real story?
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Somebody like Roger B. Will be able to provide the facts, but I seem to recall reading that it was one of many projects that Mint Director Nellie Tayloe Ross implemented to get things going at the Mint. Look at how production increased sharply starting in 1934.
There are a few reasons.
One of which is there was an increase in the public asking questions about proof coinage since ceasing production in 1916.
The FDR administration players and the saga of gold at the time are big factors and make for an interesting story.
"If I say something in the woods and my wife isn't there to hear it.....am I still wrong?"
My Washington Quarter Registry set...in progress
Borrow the book United States Proof Coins 1936-1942 by Roger W. Burdette (me) from your local library or the ANA library. That will give you the complete story.
I didn't think proof sets were issued until 1936. Before that, coins were struck as proofs and sold individually.
I think by the middle of the depression the living standards of people were at a point that they had some extra money to have more diverse hobbies.
US proof coin sets were issued regularly beginning in 1858 through 1915. The preference was to sell gold coins as a set, silver coins as a set, and minor coins as their own set; however, individual proof coins could be purchased especially among gold. In 1916 only the cent and nickel were issued as matte proofs.
My normal guess is that someone bribed a pol to restart them, but you can check Roger's book for the real answer.
since we seem to be playing "I've Got A Secret" I have always wondered why the Mint stopped striking Proof coins in 1916.
Probably for the same reason they stopped striking them in 1942 - the war.
Lack of demand fueled by collector dissatisfaction with the Matte Proof format that was kicking in with the introduction of each new design. The mint claimed that it couldn’t make brilliant Proofs of the new designs.
1936 was near the height of the depression and coin production was fairly low. Offering proof sets to collectors helped keep mint workers busy and also helped generate revenue to pay the operating costs of the mint. Of course I'm just speculating here.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
Actually, the Depression was starting to ease in 1936 as more and more federal dollars poured into various programs and people started spending money again. There would be another dip in the economy when an attempt was made to lessen federal spending in the later 1930s.
Another 'history mystery' receives the bright light of knowledge here on the forum....
Cheers, RickO
The worst year of the depression was 1937. Hitler ended the depression when he forced the US to start massive defense spending.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
1917 Proof minting stopped due to the US readying and entering WWI.
1936 Proof minting resumed to capitalize on the coin collecting euphoria prompted by the classic commemoratives.
According to one of my economics professors in undergraduate school, who was Keynesian, the 1937 economic depression was brought on by the Federal Reserve who clamped down on the money supply. The Fed was fearing inflation which turned out to be the wrong call.
World War II defense spending ended the Great Depression. After the war savings for a lack of consumer goods during the war and pent-up demand kept the economy going.
It's truly amazing to read so many reasons for resumption of proof coins in 1936....and have not one of them be close to correct.
As to: "I have always wondered why the Mint stopped striking Proof coins in 1916." Details are found in Renaissance of American Coinage 1916-1921 and a shorter version in David W. Lange's book on Mercury dimes.
I think I'll buy the Lange book and then post the answer.
PS: The correct answer has been posted on these message boards at least twice.
RE: "The worst year of the depression was 1937. Hitler ended the depression when he forced the US to start massive defense spending."
Well --- not really. FDR had supported strong national defense - especially naval - since long before his time as Asst Sec of Navy. On taking office as President, he ordered substantial increases in preparedness and fleet construction in anticipation of an eventual Pacific conflict with Japan. US aircraft carriers that turned the Pacific War at Coral Sea and Midway didn't just pop-up after 1937. Neither did the aircraft and infrastructure for European and Asian theaters of operation. The electric power required for aluminum manufacture was initiated under President Hoover and expanded by FDR.
Well, Keets, what did you learn when you bought Lange's book?
Has the OP found the correct answer to his question?
The worst year of the Great Depression was 1933. That's when things really hit bottom. The 1937 dip might have been called a "recession."
Of course it was no ful to have lived through either of them.