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Competition in currency

Competition in currency

Source: Thomas Hogan, West Texas University

Thomas L. Hogan, assistant professor of economics at West Texas A&M University, argues for re-introduction of decentralised currency production by competing private banks.

Although the Federal Reserve currently has a de facto monopoly on the provision of currency in the United States, this was not always the case. Throughout most of US history, private banks issued their own banknotes as currency.

This paper examines two ways in which banks could potentially issue private money.

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