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Yahoo Finance Currency ConverterLast update: Wednesday 23rd of May 2012
The second, more important, experiment was the Latin Monetary Union (LMU). The rules of this Union were somewhat peculiar and, in some respects, seemed to defy conventional economic wisdom. 6) National Debt of a Country: 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. To conclude, the factors presented here are determinants of the degree of demand on a currency, and therefore it's value. There are other factors such as manufacturing growth, degree of entrepreneurship in a country, employment growth, and even the weather and it's affect
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