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Currency Convertor OnlineLast update: Saturday 19th of May 2012
The second, more important, experiment was the Latin Monetary Union, the quantities of gold and silver Union coins that member countries could mint was unlimited. Regardless of the quantities minted, the coins were legal tender across the Union. Smaller denomination (token) silver coins, minted in limited quantity, were legal tender in their territories. Token coins were also cross-boundary legal tender as were banknotes (1900) recognized by the banks of the member countries. It worked so perfectly that no one wanted to convert the currencies and exchange rates were not available from 1905 to 1924, when Sweden dismantled the Union following Norway's independence. Actually, the countries involved created (though not officially) what amounted to a unified central bank with unified reserves - which extended monetary credit lines to each of the member countries. 2. Futures The potential for economic growth in a country should also be looked at. If the potential is strong, then it's currency value would expect to increase. Also, if a country produces products that other countries want to buy, this can increase the demand for a particular currency.
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