Among others, one has to be careful with three persons in the world, particularly, what these three persons say in their capacity, and act about it. These are the law maker, central banker, and more importantly economist working with law maker, central bank and the government.
Some time the economist who is working with the government say uncommon thing but the media always ignores because that is important to them!
The current Chief Economic Adviser in the Ministry of Finance said “one uncommon thing” in an interview to Indian Express but it seems that the persons who were there in the interaction could not notice what the Adviser said. The Adviser said:
“..an economy cannot have more than one money-creating authority.”
It is simple as well as a complex to understand. About the “money creating authority”, understanding in theory in one thing and thinking about applicability is another thing. Did any one asked him why not? No one!! But what is worth to ponder is the following:
Is there a country in the world, where there is ‘more than one creating authority?’ Close to home whether India
I am certainly sure to answer these questions in near future!!
Why do we need an "authority" to create money? Was gold created by authority? Moneys of all kinds came about because of the mind of trading Man - so cattle, salt, cowries and so many other commodities have served us as money. In Nazi concentration camps, cigarettes became the money of the prisoners - spontaneously. Screw all authority - especially when it comes to money. Under them, "money substitutes" - paper notes - have become real money, And we have all been impoverished, while these authorities have made hay.
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