could a government ever have a “reset” on currency?

Question

And by a reset on currency I mean a reset on the value of their currency. Take Iranian rial for example, their exchange rate is 371,992 to a single U.S. dollar. Could a rial ever have a 1:1 ratio without ever collapsing? I obv not a finance bro

In: Economics

Answer 1

Only by either removing a LOT of Rial out of circulation, or by issuing a “new” Rial

Not *exactly* what you’re talking about, but close enough:

https://en.m.wikipedia.org/wiki/Redenomination