January 16, 2009, the African country of Zimbabwe rebateforexsued a large denom rebateforexfeeation of ForexRapidRebate rebateforexbroker: 100 trillion Zimbabwean dollars, 1 followed by 14 0 But just after half a month, February 2, the Central Bank of Zimbabwe Forex Rapid Rebate decided to issue a new currency, delete 12 0, the new currency 1 yuan equal to the original currency 1 trillion yuan Subsequently, the 0 on the banknote gradually increased, in August 2010 In August 2010 and announced the removal of 10 0, and then issued a new new currency according to estimates, Zimbabwes inflation rate in this period has reached one billion percent such astronomical figures in economics has long been meaningless, but that short-lived 100 trillion banknotes, because there are 14 0, so loved by many collectors, but also jokingly over a super-rich addiction  Zimbabwe issued 100 trillion Zim dollar denomination banknotes Paper money is an important invention of human beings in business activities, is the product of economic development to a certain stage because with the increase in trade volume, carrying a lot of metal money to do business is extremely inconvenient, encounter money shortage situation more trouble, so the replacement of metal money with lightweight items, technically become possible to talk about lightweight, nothing better than paper but In this way, paper money will be removed from the natural commodity properties of metal money, transformed into credit money paper money merits and demerits thus unfolded, Zimbabwes 100 trillion notes is one of the best early 9th century Tang Xianzong early years, China once appeared by the official issued, in between the merchants for withdrawal shopping credit certificate, known as flying money but flying money is only exchange certificates, not yet paper money The earliest paper money in the world appeared in the Chengdu area during the Northern Song Dynasty in China, and was called jiaozi, which was printed by merchants and used by ordinary people to make purchases. Later, due to the local financial constraints, the 24th jiaozi was issued when the 23rd jiaozi had not expired. The jiaozi then depreciated in value, opening the world precedent of paper money causing inflation. Paper money to new for old, in a vain attempt to get rid of hyperinflation in the world precedent Southern Song and Jin dynasties have issued different varieties of paper money, the initial use of good results, and then quickly into the indiscriminate issuance, especially in the Jin dynasty if the exchange rate of several successive paper money projection, the end of the Jin dynasty prices rose hundreds of millions of times leading to economic deterioration is the main reason, in Mongolia and the Southern Song under the attack, the Jin dynasty financial distress The Mongolian Yuan followed the Jin dynastys cross currency system Kublai issued the Zhongtong Yuanbao cross currency in 1260 after succeeding to the Mongolian Khan, and in 1287 issued additional to the Yuan Tongbao banknotes, using silk and silver as reserves, setting up a strict reserve system, prohibiting the circulation of cashback forex and silver among the people, paper money became the countrys unified currency China experienced one of the best times of using paper money, except East Asia, the impact even as far as West Asia "Marco Polos Travels" had praised the Khans paper money, so that Europeans marveled unfortunately this good certainly to be shorter than the Yuan Dynasty, but a few decades, with the stagnation of foreign expansion, paper money fell into the destiny of indiscriminate devaluation to the new instead of the old, counterfeit banknotes rampant, indiscriminate, until the death of the Yuan left for the Song Dynasty paper money topography, the right for the Yuan Dynasty to the Yuan pass Bao banknotes  The first part of the Ming dynasty, the issue of the Ming Dynasty, the Bao banknotes, no reserve, the government only out of not collected, from the folk back to gold and silver, while prohibiting the folk use of gold and silver, for the early Ming economic recovery played a positive role with the proliferation of Bao banknotes, the folk abandoned, regained metal money, the government was forced to lift the ban on the middle of the Ming dynasty, consistent Bao banknotes only worth a copper, Bao banknotes gradually died out at the end of the Ming Chongzhen Emperor in response to the peasant uprising, and want to print the Bao banknotes The government was forced to release the money in 1853, after the military situation improved. The first year of Tongzhi (1862) year to stop the use of paper money left for the Ming Dynasty in the early days of the Da Ming pass treasure banknotes, the right for the Qing Dynasty during the Xianfeng years of the Qing dynasty, the Qing Dynasty treasure banknotes above is a brief history of paper money before China and the modern financial industry, the overall effect is more harm than good can repeatedly bear the infamous end of life, is the most realistic picture of its function and the most correct evaluation of the ancient Chinese paper money system There are important flaws, far less advanced and great than some views describe the original intention of another, a long time, are going to be in order to collect money, compete with the people for profit, leading to hyperinflation the death of the merchants people abhor this, the damage to business development is particularly serious  undeniable similarities between ancient Chinese paper money and modern paper money, that it was too far ahead of its time is an acceptable praise, but not Therefore, the conclusion that Chinas commodity economy is developed and advanced financial to cross for example, Chinas long-term shortage of silver, Song Dynasty due to a combination of reasons, local and even lack of copper, the unprecedented large number of casting iron money iron money low value easy rust, unsuitable for circulation storage, currency function is extremely poor in the Northern Song Dynasty, Sichuan region with more iron money, iron copper ratio of about 1:10 envisaged for a large bag of grain, need to shoulder a small bag of iron money to buy, such The transaction cost was too high, and the merchants had no choice but to invent crosses to replace iron money, which enhanced the convenience of transactions. The first appearance of paper money in China is logical but as credit money, paper money appeared in ancient China, the tragic end has long been predestined because each of their issuance, use, abolition, is essentially just another version of large bronze coins, the main function is more often the expedient way to ease financial difficulties, rather than to add to the commodity economy paper money is superior to large bronze coins, the function of wealth collection. However, the consequences were even more serious than those of large copper coins, as was the case in the Song, Jin, Yuan and early Ming dynasties. China, the financial situation greatly improved, the government also has an understanding of the drawbacks of paper money, so the abolition of the logical commodity economy and an important sign of a developed financial industry is the high rate of capital turnover within the entire economy, the full realization of the efficient allocation of capital, separate business institutions are striving to use the least amount of capital, to obtain the maximum marketing income and profits to accelerate capital turnover, the need for high frequency, large In order to accelerate capital turnover, high frequency and large amount of borrowing is needed, which is most lacking in ancient China, especially in the governments lending behavior. The government encountered financial difficulties, mainly by increasing taxes and issuing large sums of money, accompanied by the sale of official copycats to eat large government that is, the royal family, the emperor is difficult to produce the idea and behavior of borrowing the emperor owes debts, where is the majesty?  China inhibits the generation of precious metal money, large lending behavior is rare, the lack of financial institutions, paper money vicious circle, are related to the commodity economy is not developed with the opposite, Europe is difficult to achieve political unity, trade and commerce complex, coupled with the high frequency of war, the financial industry is bound to develop Ancient Greece, ancient Romes financial story need not be traced, since the late Middle Ages, in the commercial prosperity of the Italian region, a variety of simple Financial institutions, including private banks increased one after another, to carry out pawning, exchange, deposits, lending and other businesses which, in order to reduce the cost of remote transactions, the emergence of some paper credit certificates, can be collateralized, resold, but not yet paper money European lending behavior has a long history, the pope, the king is no exception compared to the sale, lease of direct money exchange, lending based solely on collateral or speak of the spirit of good faith contract is far from enough, the It is still necessary to seek financial innovation and establish supporting institutions and systems, and the Italian cities of Venice and Genoa during the Renaissance were often at war with the outside world and spent a lot of money. Compared with the tax increase that is likely to attract public discontent, the social cost of bond issuance with shared benefits and risks is smaller and easier to become the first choice, so it was gradually promoted in Europe So far, the three basic elements of modern finance, banks, banknotes and bonds have taken shape, but they must operate around the precious metal currency With the opening of new markets in the great sea, the inflow of gold and silver in the Americas, the total volume of the economy is increasing, and the business process is becoming more and more complex In the Netherlands, a variety of institutional innovations, product development, so the efficient integration of the three and the precious metal currency of the central bank called for the emergence of the Dutch because of too much focus on business itself, political power scattered, and did not make this thing The first central bank was nationalized in 1668, the Bank of Sweden, to carry out deposits and loans Because Swedens main currency is copper, the use of inconvenience, the bank in 1661 began to issue a paper copper notes instead of coins this earliest bank notes are paper money, and Chinas Northern Song Dynasty crosses the mechanism for the production of almost identical Swedens economy is small, the role of the central bank is not significant, the Bank of England in England is the collection of the great 1662 Bank of Sweden issued copper notes bank notes  nbsp;In the mid-17th century, after the end of the British Civil War, through three wars against the Netherlands, defeating rivals and establishing maritime supremacy during the war to support the war, the issue of a variety of public bonds yielded quite good, including not even a few Dutch buyers gain big, resulting in British society to fight the war on addiction but the bond issuers, amounts, interest rates are different, the sales process is often confusing, slow, and government-controlled fiscal spending Always after the bond financing, but also affect the efficiency of the use of funds so approved by the King of Englands charter, the Bank of England was established in 1694, unified sales of war treasury bonds because of the risks of war, the bank was also allowed to use precious metals as reserves, with the right to issue bank notes so that the operation will generate a larger than the minting tax and stable income, can be used for a variety of government spending upfront advances this package of financial The system innovation is tantamount to a financial revolution, on the surface is to strengthen the governments ability to absorb the peoples savings, while expanding the liquidity of government debt, the core is through financial means, the governments revenue and expenditure on the fiscal centralization, government functions and market functions to achieve efficient connection, which is not easy in the commodity economy active in Europe Bank of England issued in 1797 Bank notes, the face value of one pound The Bank of England was not only a booster to wage war, but also a catalyst to start the industrial revolution, through various upheavals and tests, stood firm and became the bank of banks, growing with the Sunset Empire, the role of increasingly significant, after which countries have followed suit to set up their own central banks With the improvement of relevant institutions and regulations, the central bank and various commercial banks, the With the improvement of relevant institutions and regulations, the central bank and various commercial banks, exchanges and other financial institutions in close cooperation, so that the efficient circulation of paper money and bonds in which the upgraded financial industry to help, the real economy more vigorous development, reached the highest stage of the commodity economy market economy  the beginning of the establishment of the modern financial system, with the increase in the variety of currency, to maintain a fixed relationship between the currencies, is the common desire of the market and the government, so the formation of the gold standard system and the compound standard System (while gold and silver as the standard currency, individual countries also use silver and copper) gold standard system is to gold as the general equivalent of the monetary system, including different stages of the gold coin standard, gold bullion standard, gold exchange standard gold is comparable to God, people believe that bank notes because they can use it to freely exchange gold coins or equivalent gold, but then countries have abandoned the gold standard system 1970s, after World War II to the dollar - gold Based on the formation of the gold exchange standard system to stop running, led by the United States Bretton Woods system collapsed, announced the gold standard system into history gold standard system is the emergence of traditional finance to modern finance over the stage of the product, but also precious metals to remove the monetary properties, return to the commodity properties of the process from the birth of perfect to unsustainable when the shortage, because the growth of gold production is much lower than the growth of commodity production The magnitude of gold, to gold denomination can not meet the needs of the expanding commodity circulation, in addition to its system defects are too many varieties of currency, resulting in credit and value and the relationship between the government legal and free exchange is too complex, the financial market to increase costs to reduce efficiency, commodity price fluctuations caused by chaos these are contrary to the original intention of the establishment of the gold standard system, so was eliminated is the inevitable result, but because of the strong ability to realize gold. Now many countries still have gold reserves to get rid of the gold standard system in the process, the amount of paper money increased, slowly lost the nature of the bank notes, become not dependent on precious metals, by the national law mandatory circulation of credit money without precious metals to do guarantee, paper money can still be recognized, alternatives are the strength and value of the country In addition to adapt to economic development to continuously increase the money supply, to solve the financial difficulties also Additional currency to avoid indiscriminate issuance, excess currency with the issuance of treasury bonds and a variety of other financial products to check and balance So the cycle continues, the market is gradually increasing the currency now the symbolic, electronic trend is obvious, the proportion of physical paper money is greatly reduced, began to step into the rhythm of being eliminated has been highly complex currency, bond issuance management, respectively, is an important element of monetary policy and fiscal policy, but also to maintain a stable economic However, as with other systems, the financial sector cannot be left alone, when it comes to economic difficulties or war expenses, the strict regulation will be shaken, all those in power have the impulse to issue more or even indiscriminately paper money and national debt, resulting in varying degrees of inflation, the lighter to the governments future as collateral, the heavier to the fate of the country as a bet  The modern financial industry, along with the ship of the powers into China, resulting in the thirteen banks in Guangdong, the provincial merchant gangs, Shanxi ticket from the solid gold into the collapse of the Qing government borrowing, issuing paper money and minting silver coins are the same passive move since the foreign affairs movement, the government began to try to borrow money for financial difficulties, and then an uncontrollable, until the demise of the debt of the end of the Qing Dynasty, countries have set up in China Banks, engaged in the issuance of paper money, mortgage lending and other financial services Qing government in order to regain the right to set up the China General Merchants Bank (Commercial Bank) in Shanghai in 1897, the establishment of the Ministry of Finance Bank (Central Bank, renamed the Bank of the Qing Dynasty in 1908) in 1905, the issuance of silver bills, silver dollar bills, Chinas banking industry began to converge with international The Qing government issued paper money for a short period of time, the total amount is not large, but also There is no opportunity to add chaos to the Republic of China period, the financial industry to show their skills, banks like cattle, only the lack of a decent central bank warlords borrowed to start a war, the powers fishing for profits, governments around the indiscriminate issuance of paper money, the number of large, the variety of the worlds largest, the people suffer unbearable war and turmoil, the financial industry destroyed more reputation less the founding of New China, the implementation of a planned economy, the role of the financial industry is not obvious until after the reform and opening up. In August 1948, the Kuomintang government replaced the rapidly depreciating fiat currency with gold yuan notes, initially the largest denomination of gold yuan notes was 100 yuan, and by May 1949, the largest denomination of gold yuan notes in circulation was 1 million yuan in addition to the 5 million yuan gold yuan notes that had been printed and not issued for circulation due to the liberation of Shanghai in July The Kuomintang government that moved to Guangzhou announced the replacement of the gold yuan coupons with silver yuan coupons, providing that 500 million yuan gold yuan coupons can be exchanged for 1 yuan silver yuan coupons to the Central Bank The financial system does not have any mysterious power Britain and the United States to become the financial center of the market economy, not because of more gold reserves, printing large amounts of money, but because of the total economic volume and strength Finance must serve the real economy, not based on production Only hope that relying on the issuance and regulation of currency, treasury bonds can save or prosper the country, will always be just a luxury, over-reliance, the end result are playing with fire but the legend of money to make money, always seduced people do not work to get the psychology of reality version of a variety of dazzling reports continue to upgrade and processing of the old story, get rich is easy to remember, bankruptcy is easy to forget In short, the financial jungle is never short of money, the And temptation