Wednesday, November 20, 2024

TIDBIT FROM CLARE, 20 NOV

 Clare 

 Article:  "Delete zeros and evaluate the dinar"

 Quote:  "In a newspaper column a while ago, we explained the concept of deleting zeros, and today we are talking about the concept of currency revaluation, which means a calculated upward adjustment of a country’s official exchange rate...revaluation is the opposite of devaluation. 

In a fixed exchange rate system (the system followed by Iraq), only a decision from the state (the central bank) can change the official value of the currency...

In a flexible exchange rate system, revaluation occurs on a regular basis, as evidenced by the noticeable fluctuations in the foreign exchange market...

The United States maintained a fixed exchange rate until 1973, when President Richard Nixon decided to abandon the gold standard and switch to a flexible exchange rate system..." 

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