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/biz/ - Business & Finance

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16800440 No.16800440 [Reply] [Original]

Has anyone every tried to make an international currency? Like, just tie the value to an average of all world currencies. Would be very stable and it would ease trade considerably between countries.

>> No.16800600
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16800600

the average of what? whats the average of dollar euro and yen?

>> No.16800619

>>16800600
Libra is exactly this retard

>> No.16800624

Remove your trip newfag. Also yes they tried making an international currency with the Euro.

>> No.16800633

>>16800440
Value is derived from something being worth more than something else.

>> No.16801295

>>16800619
libra is corporate sovereign currency
lets hope it never happens

>> No.16801514

>>16800440
It's an EXTREMELY bad idea.
Currently we have a system of self correcting currency values. When a country exports more than it imports, its currency value increases, making its exports more expensive and its imports cheaper. Conversely when a country imports more than it exports, its currency value falls, making its exports cheaper and its imports more expensive. Getting rid of this desirable feature would cause enormous long term economic instability.

>> No.16801554

>>16801514
What exactly would be the economic fallout? If you tied the currency to the global currency average?

>> No.16801566

>>16800633
Yes, I'm in no way disputing that.

>> No.16801584
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16801584

>>16800440
>Has anyone every tried to make an international currency? Like, just tie the value to an average of all world currencies. Would be very stable and it would ease trade considerably between countries.
Pic related is you.

>> No.16801647

>>16801566
So you understand that it's a zero sum game and that in order for currencies to have value others must have a "negative" value, which means if you averaged them all out you'd get a value of 0?

>> No.16801808

>>16801647
No country's currency has a negative value. You might get a value of 1.

>> No.16801864

>>16801647
I see your point though. I would have to create a standard for the price. What about tying it to the value of gold? That would be very effective.

>> No.16801873

>>16801647
So we tie the value to gold and how much of a currency can buy gold.