Say country A sends some billions of dollars to country B in aid or in exchange for some resource. How does the actual transfer take place? How does the wealth of country A decrease and the wealth of country B increase?
In: 472
In addition to wire transfers which is really just bookkeeping, the Federal Reserve Bank in New York has a vault full of gold, owned by various countries. From time to time they literally move bars of gold from Country A’s pile to Country B’s.
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