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by Tepix 1481 days ago
Most people think that a currency guided by an entity works better than an unguided one.
1 comments

If you can guide a currency and there is some power imbalance in who is doing the guiding, then that can turn out to be a nasty problem. For instance, there is some asymmetric effects if the entity doing the guiding dilutes savings by pumping the money supply and simultaneously buys mortgage products while setting a central bank lending rate of near 0%.

Beauty is in the eye of the guider.