Rearden Economic Report Janruary 10th - Currency

Day 417, 21:05 • Published in Canada Canada • by Alexander Rearden

This weeks issue will focus on currency, how it works in eRepublik, how a currency changes wages, prices etc and the advantages and disadvantages to having a strong or weak currency in relation to gold.

Start out with some general knowledge, in eRepublik congress has the right to print the currency of their country with the cost of small amounts of gold per CAD from the country treasury. No more currency exists or can exist save that printed by the country or initially poofed into existence by the admins (i.e. new country creation). This may seem very common sense but is critical to understanding monetary policy in eRepublik. Gold is far more similair to real world fiat currencies because there is an ever changing amount of gold in and out of existence, gold comes into existence from various sources such as level increases, medals and buying gold packs for real world money it is taken out of existence through wellness packs, wars, company creation/upgrade and various government actions.

When people say strong currency or weak currency it is relationship to gold, a stronger currency is one that requires less currency to purchase a single gold and a weak currency is just the opposite. Another thing to note is their is always a disparity between the currency -> gold and the gold