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my opinion......give comment your opinion

Ans:

         fully backed up by gold is rare in practice now.a lot of gold becomes struck.additional currency cant be issued without gold.though there is chance of over publishing of notes.it cane be overcome by reserves in forigen countries.so currency semi-backed gold is batter.

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Replies to This Discussion

 

 

Yes, I agree the currency should be backed by equivalent gold reserves.

The excess debt will reduce by the household keeps on borrowings and borrow without paying debts. Some time we face the problem of currency shortage. To solve this problem we issue more currency to meet this shortage.

If we can issue more note without the reserve of gold it is not good for our economy. The fluctuation of currency of more than the issue amount creates inflation. In this case our currency devalued .The circulation of money in few hand in this the unemployment increases. Some people use the currency for wrong purpose. We need Federal Reserve. Because our government is more responsible on their spending, government is owned by the corporation of Federal Reserve goes for both democratic and republicans. So we can say that the gold reserve would help to confidence of fiat currencies’, support the condition to gold standard, current state of economy, stabilizing monetary system, eliminate the problem of monetary inflation, stabilizing the business standard and the gold is the natural control. I think its a great idea that the money we use would be backed up with gold.

 

zarnish gud keep it up & thanks 

 

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bundls of thanks

but mujy mgt 401 and mgt 411 ka quiz ni tha mil rhya wo me post kr diya

what zarnish.........

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