If x amount of money were introduced (discretly, with no one noticing) to the market, how does the market “know” that that amount of money has been introduced (thus adjusting prices)?
In: Economics
There are any number of different ways for the banking system to take note of additional currency that wasn’t predicted ahead of time.
Their systems have long since analyzed most regions have nailed down the approximate amount that should be coming in on a regular basis.
How? By studying past records of currency incoming and outgoing.
This non-predicted spikes of incoming currency would draw a red flag for further study. Not from one day’s record of unexpected incoming currency, but over a few weeks, if it kept happening, it’d red-flag for a personal audit of the region.
They’d go in and find out where the extra currency was coming from. This is how they first get hints of counterfeiters.
They’d search for people putting new currency into the system in unexpected ways. People with more income than they should, according to their banking records. Most times, it’s simple things: a personal gift, inheritance or a lucky streak in Vegas. Other times, though, it’s people showing to make 20k a year and yet they’re wallowing in income. So they get flagged for personal examination of the currency that they put into the system, to make sure it’s real, and then begin to try and track down where it’s coming from. Likely drugs or some other illicit business.
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