Non-Electronic (Cash) Commerce after Rate Change

[bamastorm]

First of all, I want to say that I have been in this investment for over 10 years now and firmly believe that one day something will happen. When who knows? How much who knows?  I have a good understanding on how fiat currencies work. Tomorrow we could wake up and see 1:1 exchange rate on the CBI site and electronically it is done.  The part that I cannot wrap my head around is what  happens with the non-electronic commerce?  How will it be adjusted quickly to adapt to the new rate?  Let’s take Joe the camel trader out in the sticks of Iraq.  He sells used camels for 1000 dinar or 1 Us dollar.   So, the rate change happens and now Joe could sell camels for 1 dinar or 1 dollar.  But does he?  I can see several scenarios here. 

1.       Joe has a cash business and could be unaware that the rate has changed and does not adjust his prices to reflect could be months before he is aware.

2.       Joe is a smart business man and is in touch with world. He adjusts his prices and life goes on. Assuming he has LD’s in hand or uses US dollars to make change.

3.       Joe knows the rate has changed and hopes that his customers do not.  “ I have big sell now! Camel are 500 dinars!  No I am not taking US Dollars”

4.       Joe does not know but his customers do,  no business, arguments ect…. Until Joe figures it out.

 

I know the above sounds silly but so form of it will happen in Iraq when this happens.  How much chaos will this cause?

[Longtimelurker]

1 hour ago, bamastorm said:

First of all, I want to say that I have been in this investment for over 10 years now and firmly believe that one day something will happen. When who knows? How much who knows?  I have a good understanding on how fiat currencies work. Tomorrow we could wake up and see 1:1 exchange rate on the CBI site and electronically it is done.  The part that I cannot wrap my head around is what  happens with the non-electronic commerce?  How will it be adjusted quickly to adapt to the new rate?  Let’s take Joe the camel trader out in the sticks of Iraq.  He sells used camels for 1000 dinar or 1 Us dollar.   So, the rate change happens and now Joe could sell camels for 1 dinar or 1 dollar.  But does he?  I can see several scenarios here. 

 

1.       Joe has a cash business and could be unaware that the rate has changed and does not adjust his prices to reflect could be months before he is aware.

 

2.       Joe is a smart business man and is in touch with world. He adjusts his prices and life goes on. Assuming he has LD’s in hand or uses US dollars to make change.

 

3.       Joe knows the rate has changed and hopes that his customers do not.  “ I have big sell now! Camel are 500 dinars!  No I am not taking US Dollars”

 

4.       Joe does not know but his customers do,  no business, arguments ect…. Until Joe figures it out.

 

 

 

I know the above sounds silly but so form of it will happen in Iraq when this happens.  How much chaos will this cause?

 

I agree. There will be people intentionally scamming and people not intentionally scamming. I don't think there is any way around it unless they announce it ahead of time which i think we all know won't happen. 

 

Welcome to the board!

[Laid Back]

When the rate change is announced, I believe they will launch a massive information campaign 

on the TV, Radio, newspapers and social media.

 

Go RV

Go $1:1

 

[Rochester]

 

[jeepguy]

watched the above video , we now have a guide when the time for cash out comes ! { although , i will pass on those testy, testicles !  🤣

[screwball]

On 11/29/2020 at 10:59 PM, jeepguy said:

watched the above video , we now have a guide when the time for cash out comes ! { although , i will pass on those testy, testicles !  🤣

You would have to be nuts 

[Rochester]

2 hours ago, screwball said:

You would have to be nuts 

Old saying "You are what you eat" 🤣