Wiljor Posted May 3, 2014 Report Share Posted May 3, 2014 Good morning, I just wanted to post this or perhaps, re post this, from Wikipedia. We can take the simple explanation set below or we can try and digest all the news events coming from Irak, read between the lines and make assumptions as to why they have not RV'd yet. And all the news, chatter, change of government, guru predictions, alignment of the stars etc... will not make a difference. If it happens we will all be better off. But in the mean time keeping it real makes the journey a enjoyable one. My appreciation goes to all who contribute educative articles, comments, views, stories, videos and much more, I am more aware of what is taking place over there because of you. I am still new here, but I have learned more about a country, their currency, way of life, political arena, and so much more that it would have taken years to gather the same information via other sources. Appreciation takes you a long way, and I sure appreciate being here. Revaluation From Wikipedia, Revaluation means a change of a price of goods or products. This term is specially used as revaluation of a currency, where it means a rise of currency to the relation with a foreign currency in a fixed exchange rate. In floating exchange rate correct term would be appreciation. Altering the face value of a currency without changing its foreign exchange rate is a redenomination, not a revaluation. In general terms, revaluation of a currency is a calculated adjustment to a country's official exchange rate relative to a chosen baseline. The baseline can be anything from wage rates to the price of gold to a foreign currency. In a fixed exchange rate regime, only a decision by a country's government (i.e. central bank) can alter the official value of the currency. Contrast to "devaluation". For example, suppose a government has set 10 units of its currency equal to one US dollar. To revalue, the government might change the rate to five units per dollar. This would result in that currency being twice as expensive to people buying that currency with U.S. dollars than previously and the US dollar costing half as much to those buying it with foreign currency. Before the Chinese government revalued the yuan, it was pegged to the US dollar. It is now pegged to a basket of world currencies. Today is a great day, because you say it is :-) 3 Link to comment Share on other sites More sharing options...
vietnam1969 Posted May 3, 2014 Report Share Posted May 3, 2014 Good job there Wiljor. Keep up the great work. 3 Link to comment Share on other sites More sharing options...
dontlop Posted May 3, 2014 Report Share Posted May 3, 2014 Thanks I've read that before and this part is where I was attacked for posting But it is true ,,,,,,,,,,,,,,,,,,,,, Altering the face value of a currency without changing its foreign exchange rate is a redenomination, not a revaluation So If they change the face value from a 25k note to a 25 note >> "without"<< Changing the foriegn exchange rate Is a redenomination So if the exchange rate is 1166 And they change the 25 k note to a 25 note and the exchange rate is still 1166 then its a redenomination ....---...---... So if they change the face value for a 25 k note to a 25 note and the exchange rate is no longer 1166 then its a revaluation I'm telling ya That's a hard one to explain around here 3 Link to comment Share on other sites More sharing options...
Wiljor Posted May 3, 2014 Author Report Share Posted May 3, 2014 Thanks I've read that before and this part is where I was attacked for posting But it is true ,,,,,,,,,,,,,,,,,,,,, Altering the face value of a currency without changing its foreign exchange rate is a redenomination, not a revaluation So If they change the face value from a 25k note to a 25 note >> "without"<< Changing the foriegn exchange rate Is a redenomination So if the exchange rate is 1166 And they change the 25 k note to a 25 note and the exchange rate is still 1166 then its a redenomination ....---...---... So if they change the face value for a 25 k note to a 25 note and the exchange rate is no longer 1166 then its a revaluation I'm telling ya That's a hard one to explain around here Thanks dontlop, Just thought I would put it out there to re establish for some, what is what. 1 Link to comment Share on other sites More sharing options...
WISKY291 Posted May 4, 2014 Report Share Posted May 4, 2014 Thanks, Wiljor 1 Link to comment Share on other sites More sharing options...
JayLay Posted May 6, 2014 Report Share Posted May 6, 2014 Revaluation could be a decline in the value of currency, not just a "rise". Just saying. Go RV in terms of increasing the IQD to USD exchange rate! 2 Link to comment Share on other sites More sharing options...
ocdude Posted May 6, 2014 Report Share Posted May 6, 2014 Interesting. 3 Link to comment Share on other sites More sharing options...
rulesforrebels Posted May 11, 2014 Report Share Posted May 11, 2014 Anyone can post anything on wikipedia with no fact checking Link to comment Share on other sites More sharing options...
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