are inconvertible notes? What objections are there to currency of this
- Can an inconvertible currency be made to maintain the same value as a convertible currency, and, if so, how? Supposing that it can, what objections are there, nevertheless, to it?
- “Nothing is subject to more variation than paper money, even when it is limited, and has no guarantees; for this simple reason, that, having no value of its own, it depends on the idea that each person forms of those guarantees.” Comment on this passage.
- How is it that a bad dollar does the work of buying as well as a good one until it is found out? Is it that it makes no difference whether it is made of gold or not?
- To what extent is a government capable of giving fictitious value to a paper or a metallic currency?
- In a country with an inconvertible paper currency, how can it be determined whether the issues are excessive or not, and why?
- What will be the effect if the circulating medium of a country is increased beyond its natural amount—
| (1) when the medium is coin? | |
|---|---|
| (2) when it is coin and convertible paper? | |
| (3) when it is inconvertible paper? |
- What is the error involved in the assumption, frequently made by writers and public speakers, that the currency of a country ought to increase in like ratio with its wealth and population?