Comment: Correct

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In reply to comment: So, what? (see in situ)

Correct

Liberty baby is right, and so are you cyril, what would stop the government of simply abusing the powers and getting to the Situation we have now.

The answer is competing currencies, something Ron Paul has put forth, to keep the governments currency in check. If the government abused the powers of currency creation they would devalue the currency out of existence as people run for a more sound form of money.

Non aggression really, let people trade as they see fit, the majority would settle on the most stable forms of money, and hence I think that a government currency would always fail over time and therefor not be considered worthy as a form of money in a true free market society.

Perhaps to keep a government mandated money alive, a compromise could be made, of say a flat sales tax, which has to be paid in government money, meaning the demand for that money will always be there, but at the same time the power of the market with competing currencies would still keep the government in check thanks to competition, as they would still lose purchasing power if they abused the system.