Question

How did the South hope to pay for the war?

Answer 1

The south issued so much paper money because it’s ability both to tax the population and to sell bonds was severely limited.

Answer 2

Hello, The South also raised the necessary funds by printing paper money. In fact, this funded about 60 percent of the cost of war, though printing so much money caused a huge increase in inflation. It also borrowed money from the wealthiest people in society, as did the North. Hope That Helps!