Page 24 - Understanding EOS TojuKaka FlipBook

National (fiat) currencies like USD, Naira, etc., are
controlled and manipulated by the central banks. The
central banks can increase the amount of money in
circulation by simply printing more money and they
can print as much money as they want. It is important
that they have the right amount of money in
circulation. If not, everyone suffers the
consequences.

Excessive money printing can lead to hyperinflation.
Many countries have faced hyperinflation in the past.
The story is usually the same. The government tries
to get out of debt or bad monetary policies by
printing more money but only ends up jumping out
of the frying pan into the fire. Increasing the supply
of money, without any investment coming into the
economy and without an increase in production, leads
to more money chasing the same goods - inflation.

This will lead to an increase in the prices of things.
The money you have in your possession cannot
purchase the same things as it did before. Printing
more money reduces the value of money.

In Zimbabwe, the government tried to use this
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