Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
Money as a means of payment, consists of coins, paper
money and withdrawable bank deposits. Today, credit
cards and electronic cash form an important component
of the payment system.
Reserve Bank of India (RBI) manages currency in India.
Reserve Bank has authorized selected branches of
banks to establish R RR
Reserve Bank
for notes on the
basis of the growth rate of the economy.
Reasons for not printing excess
Money͙
Currency would just lose value, it would become
completely worthless.
The same happened in Germany in the Weimar
Republic, just prior to the rise of Nazism. People would
have to use a wheelbarrow full of bills just to buy bread.
It's not sufficient to print your own currency, also you
have to have investment sector of economy to make
your money work and make new goods and services.
If you don't have your own developed investment
sector of economy, you'll have to buy investment and
other goods abroad and pay dollars for that
Reasons for not printing excess
Money͙Contd
The currency is a promissory note that the government
has the bullion to back it up. Silver, gold, platinum
whatever. Unless the nation has a reserve banked to
validate the bank notes ( that is what they have printed )
then it comes to fraud, which will eventually lead to the
governments downfall.
so it doesn't matter how much money you print.