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Money plays a vital role in the function of an economy, because the availability of currency can either perturb or prop up the circular flow of income.
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These issues have recently become again relevant as a significant capital flight could be observed with respect to China's currency by the beginning of 2016, which however did not develop to a full fledged currency crisis due to the availability of large currency reserves by the Central Bank of China.
The Central Bank has now been forced to limit the availability of hard currency.
Chuba Ezekwesili, research analyst at Nigerian Economic Summit Group, says despite the falling price of crude, the country has been able to avoid a jump in inflation by imposing limits on the availability of foreign currency.
The words "prepared to pay for" must be interpreted not only in terms of money availability but also in terms of the availability of certain currencies, particularly dollars.
The AGREE II instrument did not include questions which addressed the new iCAHE instrument domains of Currency, Availability or Summary.
(Capital controls involve restraints on capital, and are different from exchange controls, restraints on the availability of foreign or local currency).
"We're investing in the long-term future of Facebook Credits and we view this agreement as a major opportunity to broaden the availability of a simple, unified currency that can be used in games and applications across Facebook".
Where the availability of credit and hard currency are limiting factors, governments could assess the feasibility of making additional lines of credit available to private traders or, alternatively, underwriting loans by private credit institutions in instances where it can be demonstrated that hedging is appropriate and likely to be conducted in an effective manner.
Changes can be expected in this product plan depending on market conditions, availability of emerging technologies and rates of currency exchange.
In Venezuela, companies like Lustgarten's allegedly took advantage of that country's strict controls regarding the availability of US dollars by exchanging American currency in the black market for Venezuelan bolivars at a higher rate than normal.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com