Why isn’t there a global currency?

Currency always means the power how much money is produced, so directly influencing the inflation rate. And given many countries have different economic situations a slight difference might make a big change for a country. Even countries in the same economic situation may follow different approaches so set different targets (country A might aim for a little inflation, country B aim a little more while country C follows a scholarship aiming for a little deflation while country D wants neither and country E is so desperate they want to print money 24/7).

But if you have enough countries economically tied to each other and if all of them agree, you can indeed introduce a multinational currency and it can work, the Euro as the best known example.

/r/NoStupidQuestions Thread