A first issue was 400,000,000 francs or ($80,000,000) worth of Assignats, each note being 100 francs or $20 value and bearing interest daily, at 5 per cent. They were to be redeemed by the product of the sales, and from certain other sources, at the rate of 120,000,000 francs ($24,000,000) in 1791; 100,000,000 francs ($20,000,000) in 1792; 80,000,000 francs ($16,000,000) in 1793 and 1794, and the balance in 1795. The success of this first issue was undoubted, as all such first issues are.
Mirabeau was a strenuous advocate of the Assignats. "They represent," he said, "real property, the most secure of all possessions, the soil on which we tread. There cannot be a greater error than the fear so generally prevalent as to the overissue of Assignats, reabsorbed progressively in the purchase of the national domain; this paper money can never become redundant."
In 1790 the interest was reduced to 3 per cent, and as the Treasury had again become exhausted, a further issue was decided upon; it was also decreed that the Assignats were to be accepted as legal tender, all public departments being instructed to receive them as the equivalent of metal money. The second issue amounted to 800,000,000 francs ($160,000,000) and carried no interest. It was solemnly declared in the decree authorizing the issue that the maximum issue was never to exceed one billion two hundred million francs (1,200,000,000) ($240,000,000). This pledge, however, was soon broken, and further issues brought the total up to three billion seven hundred and fifty million francs (3,750,000,000) ($750,000,000). The consequence of these further issues was instant depreciation, and the note of 100 francs ($20) sank to less than 20 francs ($4) in coin. Recourse was then had to protective legislation. The first step was to decree the penalty of six years' imprisonment against any person who should sell specie for a more considerable quantity of Assignats, or should stipulate a different price for commodities, according as payment was to be made in specie or Assignats. For the second offense, the penalty was to be twenty years' imprisonment (August 1, 1793). For this the death penalty was ultimately substituted (May 10, 1794). This severe provision was, however, repealed after the fall of Robespierre. Notwithstanding these precautions, the value of the Assignats still declined, till the proportion of specie had become that of sixty to one. Then came the passing, by the convention, on May 3, 1793, of the absurd maximum. The decree required all farmers and corn dealers to declare the quantity of corn in their possession and to sell it only in recognized markets. No person was to be allowed to lay in more than one month's supply, a maximum price was fixed above which no one was to buy or sell under severe penalties. These measures were soon stultified by further issues and by June, 1794, the total number of issued Assignats aggregated nearly eight billion francs ($1,600,000,000), of which only two billion four hundred and sixty-four million francs had returned to the Treasury to be destroyed. The extension of the maximum price to all commodities only increased the confusion. Trade was completely paralyzed and all manufacturing establishments were closed down. Attempts by the convention (legislature) to increase the value of the Assignats were of no avail. Too many causes operated in favor of the depreciation; the enormous issue, the uncertainty as to their value, if the revolution should fail; the relation they bore both to specie and commodities which retained their value and refused to be exchanged for money of constantly diminishing power. Even between the Assignats themselves there were differences. The Royal Assignats themselves, which had been issued under Louis XVI had depreciated less than the Republican ones. They were worth from 8 per cent to 15 per cent more, a fact due to the hope that in case of a counter-revolution they would be less likely to be discredited.