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Currency Converter CalculatorLast update: Saturday 19th of May 2012
This is not a theoretical - and thus unnecessary - debate. ALL monetary unions in the past failed because they allowed their currency or currencies to to be exchanged (against outside currencies) at varying rates, depending on where it was converted (in which part of the monetary union). The Major Currencies and how Exchange Rates are Determined: 5. Spread Betting The New England colonies (Connecticut, Massachusetts Bay, New Hampshire and Rhode Island) accepted each other's paper money as legal tender until 1750. These notes were even accepted as tax payments by the governments of the colonies. Massachusetts was a dominant economy and sustained this arrangement for almost a century. It was envy that ended this very successful arrangement: the other colonies began to print their own notes outside the realm of the union. Massachusetts bought back (redeemed) all its paper money in 1751, paying for it in silver. It instituted a mono-metallic (silver) standard and ceased to accept the paper money of the other three colonies. An example of a trade might be the following. A trade of EUR/USD bid/ask currency rates at your bank may be 1.1015/1.2015,
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