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Home > Art, Film & Photography > Reserve and Currency Problems; A Substitute for a Central Bank
Reserve and Currency Problems; A Substitute for a Central Bank

Reserve and Currency Problems; A Substitute for a Central Bank


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About the Book

This historic book may have numerous typos and missing text. Purchasers can download a free scanned copy of the original book (without typos) from the publisher. Not indexed. Not illustrated. 1913 edition. Excerpt: ... A SUBSTITUTE FOR A CENTRAL BANK How elasticity in our currency can be obtained without sacrificing our independence. Address before New York Chapter, American Institute of Banking, March, 1908 In the consideration of currency changes or any other proposals to alter the laws existant governing demand credit and its relation to the metal in which it is redeemable, or the business of the country in which it plays an important part by either increasing its volume or by altering its method of issue or granting new powers to the institutions which are authorized to issue it, there are certain laws generally recognized and elemental which should ever be kept before the mind. One of the first and simplest of these which applies to coin alone and to credit and coin combined is that an inferior coin or money will always drive out a superior one. This rule extends itself into the realms of credit in that credit instruments and bank credits will displace coin if encouraged to do so by law because they are not so costly. For instance, banking institutions will as a general proposition endeavor to conduct their business during good times on the lowest reserve that the law will allow down to a certain point. This means that all the natural expansion of trade is being accommodated by credit instead of specie and if there is not enough expansion of business to use the credit, gold shipments are encouraged by a low rate of interest. The over-issue of bank notes under our present bond secured system has the same effect. The free coinage of silver at 16--i would have had the same effect. This general rule may be summarized by the statement that our country will have such a coin reserve as it is forced to have and no more. This rule applies not alone to the relation...


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Product Details
  • ISBN-13: 9781154504644
  • Publisher: Rarebooksclub.com
  • Publisher Imprint: Rarebooksclub.com
  • Height: 246 mm
  • No of Pages: 18
  • Spine Width: 1 mm
  • Width: 189 mm
  • ISBN-10: 1154504646
  • Publisher Date: 05 Jul 2012
  • Binding: Paperback
  • Language: English
  • Returnable: N
  • Weight: 54 gr


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