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Discuss the Risks of Using Paper Money to Provide an Adequate

Question 51

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Discuss the risks of using paper money to provide an adequate supply of money for the economy.Describe how a central bank,government regulation or coordinated action by banks can help reduce these risks.Describe the concerns of private citizens about paper money.How did local governments,state governments,federally-chartered banks,state-chartered banks and the Bank of England attempt to maintain the stability of paper money at different times from 1700 to 1860?

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Using paper money to provide an adequate...

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