Too little or too much money in a country or currency area will sooner or later lead to major disruptions in the economic process (the constantly interlocking acts of production and consumption caused by the fact of human repetitive needs). It is therefore imperative to preserve the measuring property of money in order to ensure the exchange of goods. – See financial stability, financial system, money, moral, money veil, good, public, inflation, lug-and-fraud thesis market mechanism, menu costs, quantity theory. – Cf. Monthly Report of the Deutsche Bundesbank of July 2007, pp. 15 et seq. (correlation between the real estate market and the demand for money; many overviews), Monthly Report of the ECB of November 2010, pp. 101 et seq. (influence of bank balance sheets on economic exchange rates; overviews; references).
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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
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