Dong,+Pee+and+MPC

By Jeff Walker
The medium of exchange for soldiers during the Vietnam War was the military payment certificate, more popularly known as the MPC, which was disbursed by paymasters to the troops by the US Government in lieu of US currency. MPC’s, which originated during WW II, were intended to prevent the inflationary and other detrimental effects of the infusion of valuable US currency on local economies. The MPC was used as cash at local post exchanges and service clubs and also accepted by many locals for purchases made on the economy. MPCs could be exchanged for US currency when leaving the country at the end of one’s tour or for R&R (rest and recuperation leave). GI’s also dealt with the South Vietnamese domestic currency, which was referred to either as the "piastre" or the "dong." Piastre, widely abbreviated as "pi," and pronounced "pee," was a term handed down from the French-Indochina War, and one could overhear goods and services being bargained for on the streets for "five pee," "ten pee," or "twenty pee," etc. Dong was the Vietnamese term, often a source of amusement to those newly arrived in-country who had grown up associating the word in English usage with the male genitalia. As was the case with the piastre, plurals were not used – it was always five dong or ten dong, not five or ten dongs. One could also hear the dong referred to among Americans as "Vietnamese Funny Money." Snappy, new bills were rare; given the heat and humidity of South Vietnam, together with constant handling as the mainstay of a cash economy, paper currency in circulation was often limp and faded. The possession of US currency, or greenbacks, known most simply as "US Green," was prohibited for servicemen, although some troopers were known to have cash sent to them from home for conversion to Vietnamese currency or MPCs at more favorable black market rates. Such rates were highest for highly-prized $100 bills, and the military attempted to discourage conversion among troopers by continually emphasizing that US Green would eventually find its way to North Vietnam where it would be used to purchase weaponry on the world market that would be used against Americans. To discourage black market traffic in MPCs, they would be changed for new issues -- periodically and without notice. This would render older issues worthless before they could be traded, both for service personnel and for any Vietnamese holding them.

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