Seigniorage: Impact and Challenges in the Modern Economy

Description

Introduction 

This training will enable participants to delve into the significance of seigniorage in economic theory and practice and its implications for policy-making, thereby equipping them with a comprehensive understanding of this crucial economic tool.

Course Content 

•  Modern Seigniorage
• Economic Implication
• Monetary Policy and Seigniorage
•  Monitoring and Controlling
•  Calculating Seigniorage and Accounting Treatment
•  Macroeconomic treatment
• Country Analysis
•  Challenges and Criticisms
• Policy Implications and Critical Thinking

Learning Objectives 

• Understand the basic concept of seigniorage and its role in the economy.
• Explain the difference between the face value of money and its production cost.
• Explore the historical origins of seigniorage and its role in early monetary systems.
• Analyse the practices of debasement and their economic consequences in medieval and early modern economies.
• Describe how modern governments and central banks use seigniorage.
• Differentiate between direct seigniorage (currency issuance) and indirect seigniorage (inflation tax).
• Evaluate the role of seigniorage as a source of government revenue.
• Understand how monetary policy aims to balance seigniorage benefits with inflation risks.
• Formulate and defend arguments regarding the appropriate use of seigniorage in modern economies.