The official downward revision of the comparative value of a currency to an underlying benchmark (gold, USD, Special Drawing Right). This is appropriate if the exchange rate of a currency has been above the fixed exchange ratio for a longer period of time and is expected to remain above the fixed exchange ratio in the future. – If a necessary devaluation is postponed for too long, then the corresponding currency comes into the focus of speculation. For example, huge forward sales to the euro forced
GBP of England on September 16, 1992, the devaluation omitted until then, and the country left the European Monetary System on that day. – Earlier also said for the depreciation of money, for inflation (this is a newer word, born in today’s meaning from about 1865 from the conditions in the American Civil War). – The market-induced (market-induced) or substance-caused (substance-caused) decline in the value of an asset. – See revaluation, depretiation, monetary stability, parity, Plan C, Soros speculation, exchange rate target.

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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
E-mail address: info@ekrah.com
https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
https://www.jung-stilling-gesellschaft.de/merk/
https://www.gerhardmerk.de/

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