European Countries with a Sovereign Debt Crisis: Portugal

Over the past decade, there has been an economic phenomenon that has gripped several powerful countries in the European Union, causing an economic crisis that has caused several countries to spiral into a conflict of identity and policy. While some of these countries have gotten better, others have not. This series is devoted to looking

European Countries with a Sovereign Debt Crisis: Ireland

Over the past decade, there has been an economic phenomenon that has gripped several powerful countries in the European Union, causing an economic crisis that has caused several countries to spiral into a conflict of identity and policy. While some of these countries have gotten better, others have not. This series is devoted to looking

History of the Hong Kong Dollar

The currency of Hong Kong is the Hong Kong Dollar. Hong Kong Dollar bank notes and coins come in 6 denominations of each type.  The currency is issued by the government, under the supervision of the Hong Kong Monetary Authority, the acting central bank of Hong Kong.  It’s ISO 4217 code is HKD, and is

The Dangers of Deflation

What is deflation? Deflation is, in its essence, the exact opposite of inflation. Deflation occurs when less currency is in circulation, and the value of an economy’s currency begins to rise. This causes prices to drop as currency becomes inherently more valuable. While this may sound like a particularly good thing, this isn’t necessarily the

Effects of the Chinese Devaluation

It has been two months since the People’s Bank of China devalued the yuan over 3% in just three days.  While it is impossible to perfectly predict the long-term effects of the devaluation of the yuan, we can determine some of the potential consequences of China’s decision. Read below to see how the devaluation will

The Velocity of Currency

In the economy, at any given moment, there is only so much money in circulation, while the number of goods that we produce continues to grow and grow (usually). With these limitations, how does an economy succeed in getting each of the citizens the currency that they need? How does the economy continue to operate

China Devaluation of the Yuan

On August 11, 2015,  the People’s Bank of China devalued the yuan 2% against the US dollar.  Over the next two days China again weakened the yuan, bringing the total devaluation to about 3.5%.    It was the largest depreciation in the last 20 years.  It came as a shock to many, as the China yuan