Question:

How are the new coins and notes each year rolled into usage

by  |  earlier

0 LIKES UnLike

Each year, there are all these shiny coins and new notes which were made in the present year which people get from change from purchases and such.

I have always been wondering how they first appear in stores and people's hands.

 Tags:

   Report

2 ANSWERS


  1. I know how they make the notes... they make them in the money mill and it's like a GIANT bubble of clear, seethrough plastic which gets squished together to a big sheet of clear plastic.  They then paint the pictures on it, and to get the little window in the money they just don't paint that bit.

    Each year they remove some of the old money because if they kept adding new money into the system without removing any the economy would die.  Some where around India (maybe India even) they kept adding more money, so now it is practically worth nothing.

    I'm guessing they deliver the money to the shops and stuff, because it's often seen in those little packets when they run out of coins in the cash register.  

    Hope I helped :]


  2. The new money comes from the government expenditure each year where  it spends on different parts of the economy, from education to subsidies to protect certain industries. The money is added into the circular flow through depositing it in banks where local businesses invest and are given loans (the new money) and that is how the money reaches the circular flow of the economy!

Question Stats

Latest activity: earlier.
This question has 2 answers.

BECOME A GUIDE

Share your knowledge and help people by answering questions.