Wednesday, May 02, 2012
Canada's New Polymer $20 Bill
The Bank of Canada has introduced its new polymer $20 bill, which is designed to prevent counterfeiting.
India should definitely obtain this type of technology, in order to combat the massive counterfeiting of its currency, which is done by Pakistan and terrorist groups to raise cash for themselves and to undermine the Indian economy.
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6 comments:
How do you stop the RBI from counterfeiting currency with this type of technology? Plastic pieces do not constitute money. Gold and silver are money.
The article says, it is already adopted in India and few other countries.
Itsdifferent - thanks, I should've noticed that.
Arvind, countries will always need paper currency - which is fine as long as it's backed by tangible assets, like gold as you've said. We can't be carrying around ingots in our pockets. We just don't want to end up like Obama and that crank Krugman, who wants to borrow-and-spend his way to paradise and 72 virgins.
@Arvind
Gold and silver are also not "money", because they have no inherent value but can only be used for buying necessities of life (and luxuries) -- currency notes are used for the same purpose.
Therefore, let us abolish all these tokens of money and go back to the pre-historic barter system.
@witan,
Gold not having any value by itself is what makes it money. You are correct about the barter system but not in treating gold as something not related to barter system. Gold simply acts as a proxy for the barter system which is the function of money.
One characteristic of gold is that it is difficult to create and so the value is stable. With government created paper, this is not true.
What sets gold apart from a barter system is that you can store your wealth unlike perishable goods. Another point is that not all goods are divisible. Gold does not have this disadvantage either.
san, yes you can carry money. I do not see why one cannot carry money on one's person.
Well, hey, at least platinum is valuable as a useful catalyst. Maybe we should switch to that over gold. :P
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