Geld
9 cards from across every topic, each citing a source. Tap one to open it in the feed.
- Bad money drives out good – but only at a forced rate.
When two kinds of money circulate at a legally fixed ratio, the more valuable one leaves circulation: debtors pay with …
- Losing 100 euros hurts more than winning 100 euros feels good.
Kahneman and Tversky showed that losses weigh roughly twice as heavily as equal gains. Most people refuse a bet with a …
- New money doesn't enrich everyone equally. It reaches some first.
Richard Cantillon described in the 18th century: newly created money first reaches banks, the state and the wealthy …
- Overnight, the shop windows were full again.
On 20 June 1948, the Deutsche Mark replaced the Reichsmark in the western zones. Every citizen received 40 DM in cash …
- Tally sticks: medieval receipts that burned down Parliament.
Before paper was common, debts were cut as notches into a wooden stick, which was then split lengthwise: creditor and …
- The invisible corridor every deal lives in.
The ZOPA (Zone of Possible Agreement) is the range between the maximum a buyer would pay and the minimum a seller would …
- The state earns money from the cash in your pocket.
Seigniorage is the profit from issuing central bank money. It comes not from paper versus face value but from interest …
- What central banks do when the interest rate is already zero.
In quantitative easing the central bank buys government and corporate bonds from banks on a large scale and credits …
- Whoever names a number first usually wins.
In 2001 Galinsky and Mussweiler had pairs negotiate over a factory. When the buyer made the first offer, the final …