For countries with high seigniorage returns, we expect

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High seigniorage returns imply that the government can extract a significant amount of revenue from printing money. This can lead to high and variable inflation, as the government may be tempted to print money to finance its spending. Additionally, countries with high seigniorage returns may have a smaller role for their currencies as an international store of value, as investors may be less willing to hold currencies that are subject to high inflation.

For Countries with High Seigniorage Returns, We Expect