Edit- I know how they created a virtual currency to build confidence, and after a point declared the virtual one as the official currency, but I wanted to know how it was tackled by that step.
In: Economics
By installing a new, non-valued currency (later named the real) that was attached to the dollar, which would balance it out instead of shed value and continue the cycle. Every payment was made in the old currency that kept losing value until the real was ready to be introduced, which would be after the interest rates were raised to attract foreign investment and enable the real to momentarily overtake the dollar in nominal value, which would fuel imports and block demand-induced inflation.
Latest Answers