26 lines
714 B
Markdown
26 lines
714 B
Markdown
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<!-- generated: provider=openrouter model=arcee-ai/trinity-large-preview:free date=2026-02-19 source=book-5-chapter-03 -->
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# Public Debt Reduction Through Debasement
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# Definition
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The practice of reducing the real value of public debt by decreasing the
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precious metal content of coins while maintaining their nominal value, effectively
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allowing governments to pay creditors with less valuable currency.
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## Source Chapter
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Book V, Chapter 3
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## Context
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Smith describes how nations have historically reduced their debt burdens by
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debasing their currency, using the Roman example of reducing the copper content
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of the As to pay debts with only a fraction of their real value.
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## Economic Domain
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Regulation
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---
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