twenty billion dollar bill

Transaction Net Money Ratings:
National Federal Reserve Money

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federal reserve moneyLETSystemsIthaca HOURSTime Dollars

National federal reserve currency

Federal reserve money was once backed by precious metals, but now fluctuates in value; notwithstanding its nebulous worth, it is accepted almost anywhere, and in its paper form, can be used anonymously.

National currency is first created an as interest-bearing bank loan. Each loan demands interest--additional cash that was never created--on repayment, thus stimulating competition for the shrinking capital. Because money is scarce, people speculate on money, or hoard it for a "rainy day", as if it were a commodity.

Bernard Lietaer, in his new book, offers a more detailed comparison of today's money and some other complementary currency systems.

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