This paper explores the processes of cultural re-alignment that set in when beginning in 1861 responsibility for issuing bank note s shifted from small and local private banks to large-scale institutions of the central state su ch as the U.S. Treasury Department or its equivalent in the CSA. In this process of terr itorialization, the fairly local spaces of early paper money were fundamentally reshaped by a state-imposed spatial regime. For many Southerners, that regime was identical with the North, whose felt and visible presence ? also in the currency - led to a self-conscious identi fication with "the South." It was the South's cohesiveness both as a regional culture and as an identifiable and distinctive way of life which constituted an alternative that could be pitted against the encroachments of the central state and, on the cultural level, ag ainst modernization. In this context of power relations the Louisiana Dix Note would eventually become mythified as the true origin of the name "Dixieland."
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