example currency


paper (non-commodity-backed) currency



1. design and print a range of notes

2. ensure that enough is printed to cover the size of the population, e.g. $10,000 per person

3. ensure no counterfeiting (printing of notes by others)

4. set a law for a price of a widely used commodity, e.g. $2 per liter of milk

5. will need banks as places to store money safely

6. increases economic efficiency and production




7. may cause various social effects, e.g. accumlation of valuable assets, levels/different groups, debt etc.



suited to people travelling, and locations with a large number of transactions (buying items, selling items)



B.

If you don't have the power to make laws, you may need to issue a commodity-backed currency, where each note is 

	directly convertible to an amount of a commodity. In practical terms it would need to be a commodity that 

	you produce or import in reasonably large volumes.




