Revisiting Modern Economic Imbalances and a Sustainable Future: Reforming the Monetary System and Currency Issuance Framework
The monetary system has played a pivotal role in overcoming the inefficiencies of barter trade and streamlining economic activities. However, the current framework for currency issuance has significant imbalances, particularly the fact that banks hold the power to issue money. This dynamic has become a destabilizing factor in the economy, necessitating reforms for sustainable financial management. This article explores the role of the monetary system, challenges in the current currency issuance structure, and actionable proposals for sustainable economic operations. The Role and Value of the Monetary System The core value of the monetary system lies in its ability to overcome the instability of barter trade and enhance economic efficiency. Key Functions of Money: Store of Value: Money provides a reliable means of storing the value of goods and services. Medium of Exchange: It facilitates transactions between goods and services with differing values, enabling smooth economic circul...