Business, 11.07.2019 21:40 andrwisawesome0

In the late 1940s, the communists under mao zedong were defeating the government of china in a civil war. the paper currency issued by the chinese government was losing much of its value, and most businesses refused to accept it. at the same time, there was a paper shortage in japan. during these years, japan was still under military occupation by the united states. some u. s. troops in japan realized that they could use dollars to buy up vast amounts of paper currency in china, ship it to japan to be recycled into paper, and make a substantial profit. under these circumstances, was the chinese paper currency a commodity money or a fiat money?

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