What is inferior currency expelled good coins?

The inferior currency expelling good currency refers to when a country that circulates two actual values ​​at the same time and the legal comparison currency is unchanged, the actual value or silver (good currency) must be melted, collected or output to withdraw from the circulation field. , While the actual value (inferior currency) is full of the market. In the 16th century, the director of the British Elizabeth made a casting director, also known as the "Gray Xin phenomenon". He observed that consumers retain the high currency stored in the same color (high precious metal content), and use low -color currency for market transactions and circulation. The inferior currency expelling good currency is actually a problem caused by currency makers when the currency ignores the proportion of currency exchanges when the market rules are ignored. will happen.

n00:00 / 00: 5370% shortcut keys to describe space: Play / pause ESC: Exit full screen ↑: increase volume 10% ↓: decreases by 10% →: Single fast forward 5 seconds studio Here you can drag no longer appear in the player settings to reopen the small window shortcut key description

"Inferior coins to expel good coins" is a well -known law in economics. This law is an induction of such a historical phenomenon: in the era of coin, when those coins lower than the legal weight or color , People tend to collect those sufficient money and currency- "good currency". Finally, good coins will be expelled, and only bad coins are left in the market.
An ancient principle in economics is about the era of coin circulation. In the case of silver and gold, a country must be the prescribed value ratio between gold coins and silver coins. Buying and selling gold and silver, gold coins and silver coins can be circulated at the same time. Because the value of gold and silver itself changes, the change of the value of this metal currency itself and the exchange rate of the two remains unchanged. , Make the complexity system cannot be achieved. For example, when the exchange rate of gold and silver is 1:15, when the silver mining cost is reduced and the value is reduced in the end Finally, the silver is full of currency circulation and excludes gold. If the value of silver rises and the value of gold is reduced, people will use gold to exchange silver according to the above ratio, store silver, and only gold coins in circulation will be gold coins. That is to say, the "good currency" with higher actual value has gradually been stored from the circulation market for people, making the "inferior coin" with lower actual value. It is found, so it is called "Greixin's Rules".
Gray Xin's laws must have the following conditions: inferior coins and good coins are legal currencies at the same time; two currencies have a certain statutory ratio; More than the amount of currency needed by society.
The phenomenon of "inferior currency expels good currency" not only exists in the era of coin circulation, but also in the circulation of banknotes. Spend it, and leave a neat and clean currency. This phenomenon is everywhere in real life. For example, on weekdays, ride -to -work by bus or subway. Those who can't go up, and don't keep the order often be able to settle first, strive for seats or grab time. Finally, fewer and fewer people obey the order in line. As soon as the vehicles come, everyone will scramble to get the car. Just like fighting, it is unbearable. For example, in some units that are prevailing in some large pots, no matter the level, effort, or performance, there is no difference between the benefits and rewards. The other conspiracy goes, the rest is the old and weak soldiers, mediocre generations, and perfunctory things. This is also "inferior coins to expel good coins." Being able to eat hard and poverty. Moreover, when everyone is greedy, those who are alone are often regarded as aliens, have nowhere to accommodate themselves, and are forced to combine with flow, otherwise they will be excluded out of the game. In the end Or the principle of inferior coins expel good coins work Essence
The content and conditions of the "inferior currency expels good coins" is as above. Let's discuss another opposite law here. For example, in a completely free foreign exchange market, that is, there are no legal intervention markets. There is no statutory price comparison between various currencies, and the value between these currencies is different. High currency is considered to be hard currency, that is, "good currency"; on the contrary, the weak currency is considered soft currency, that is, "inferior currency". In international trade, people are often willing to accept hard currency, that is, "good coins", and they are unwilling to be soft currency, that is, "inferior coins". As a result, the situation of winning and bad has formed a situation of "good coins expel bad currency". This can be described as an anti -examples of the "Gray Hun", which can also be called the "Anti -Greyin Law".