currency reform

Quick Reference

Replacement of a currency by a new one. This may be done for convenience, because inflation has made the value of units of the old currency inconveniently small. Currency reform has also been used to take money out of circulation because the holders wish to avoid bringing the size of their assets to the notice of the tax authorities or the police, by imposing a limit on the amount of new money any individual can obtain.

Subjects: Economics.

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