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World Paper Money To Be Replaced By Electronic-Digital Currency

This would appear to be out of the proverbial Ripley’s Believe It Or Not. But as mind-boggling as it may seem, word has it that in the not so far future, World Paper Money could very likely be replaced by electronic-digital currency. Even the very thought of such a concept would seem astounding and rather unacceptable to the human mind. But then so were two hitherto unheard brothers who went by the name of Orville and Wilbur Wright and their unbelievable machine that has made travel across the worlds oceans, but a mere silky smooth pillow to rest and wake up to.

World Bank Notes Bring About Major Changes

Cotton paper with a weight of around 80 to 90 grams per square meter is mostly used in the making of World Bank Notes. The final decision though, is based on the directives issued by the central bank of the specific country. Here the decision is taken as to what should even be the design of the money.

Fractional Reserve Money Multiplier

In the fractional-reserve banking system, a bank can produce a loan in excess of it’s reserve currency holdings. The money multiplier tells us how much money is created from each new unit of reserve currency created. If a bank holds no extra currency, currency holdings are zero, then the money multiplier will be the direct inverse of the required reserve ratio.

Globalization, An Overview

If you go through the economic history, the talk of globalization started from the nineties of the 20th century, precisely after the end of the cold war and disintegration of the former U.S.S.R. Globalization has led to increased dependence on market economy and more faith on private enterprises. Developing countries could get more opportunities because technology transfer started happening since multinational companies started setting up their establishments in these countries. These developing countries began witnessing higher living standards and increased productivity that spurred growth in their domestic economies also.

The Canadian Exchange Rate

Alternate charges are charges at which nations currencies are exchanged, that is, the price of 1 forex in terms of another. A lot of international locations now use the American dollar as the usual towards which to measure the value of their very own currency. As the great majority of Canada’s international commerce and monetary transactions are with the US, the worth of the Canadian dollar in relation to the US dollar is of prime significance to Canada.

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