The difference is in the 'S' mint mark which is found on the left side of the coin just above her shoulder. The Type 1 dollar's 'S' is like a blob - it is not well defined and is somewhat fat. On the other hand, the 'S' on the Type 2 dollar is more clearly defined and is clearly an 'S'. The Type 2 dollar is much more scarce than the Type 1 dollar.
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