eli5 what determines the cost of making money

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Why does it cost more to make a 20 dollar bill than a 1 dollar bill but it costs around the same to make a 20 and a 100 dollar bill?

In: Economics

5 Answers

Anonymous 0 Comments

It depends on the security features present in them.

Security features are going to cost money to implement. Every one of them will make it more expensive to make the bill, but it will also make it more expensive for someone to try and forge a fake one.

Once you’ve made a $1 bill cost more than $1 to forge a fake, you’re done. There’s no profit in making fakes of it.

The larger value bills require more security to get that cost to forge up high enough that there isn’t a lot of value in trying to forge it.

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