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What Happened To Old Currencies In Europe

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There is a lot of talk on this forum about what happens if the Euro fails either all over europe or in certain countries. It appears that it is a major operation involving the distribution of notes and coins let alone printing them . My question is this , when the Euro was introduced did the governments (civil servants ) of those countries keep a supply of Drachma,Escudos ,punts etc and if so the question of changing back to the old currency would be simplified in that after the close of business on a saturday the currency could be distributed and with a non trading sunday and a bank holiday monday the euros could be exchanged, not forgetting that a very large proportion of transactions are electronic nowadays. I have always wondered why there is dual pricing in some european countries and this may be part of the reason why. Any thoughts on the feasability of this

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I was living in Frankfurt at the time.

What happened was at 1 second past midnight my bank account changed from DM to euro and the amount of euros was dependent on the exchange rate for the host country. Then the next time you went to a cashpoint you got euros not DM. All of the shops took dm at the exchange rate and gave you change in euros when you paid. Then when everybody had no DM left in their wallets there was only euros in circulation except for some grannies who had taken out vast quatities of safe DM not trusting the new fangled Euro. There was never dual pricing displayed because every shopkeeper rounded up the new euro price to .95 or .99 so inflation was one result of the euro introduction.

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I was living in Frankfurt at the time.

What happened was at 1 second past midnight my bank account changed from DM to euro and the amount of euros was dependent on the exchange rate for the host country. Then the next time you went to a cashpoint you got euros not DM. All of the shops took dm at the exchange rate and gave you change in euros when you paid. Then when everybody had no DM left in their wallets there was only euros in circulation except for some grannies who had taken out vast quatities of safe DM not trusting the new fangled Euro. There was never dual pricing displayed because every shopkeeper rounded up the new euro price to .95 or .99 so inflation was one result of the euro introduction.

In France, the rate was set about 3 months (maybe more...??) in advance of the changeover. Payslips, price stickers, till receipts showed the Franc and Euro equivalent. Thne much the same happened as RalphMalph describes above.

The coins were melted down. Banknotes burned.

For the next 7 years, banks allowed trade-ins for banknotes. I've still got about 50€ of coins and notes in Francs. No doubt they'll be passed on to future grandkids... :D

PS. Given I live near the Italian border, it was quite nice to be able to go day trips to Italy and see just how much cheaper booze, fags, fresh fruit was. 10 years on, there's less of a difference as prices have evened out.

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Some shop tills here tend to show the old FF price as well as Euros. However EAs have long stopped putting the FF price in brackets. Old people take a while to get used to new things (poor lambs) but even the most thick are now Euro compliant. I think the cost of taking the FF off the tills is more the issue rather than anything else. New shop tills are Euro only.

There are established methods for the disposal of old banknotes. Notes wear out and are routinely replaced. I would imagine that all the old banknotes now have been destroyed apart from a few "collectors items" or the odd horde of DMarks and maybe some Black Economy Pesetas that were never declared.

Coins were melted down for the cupro-nickel or other valuable metals (often reused in new Euro coinage).

Normally when a currency becomes too volatile to be of any practical use the country affected uses another country's notes. Zimbabwe used the Rand for transactions - something Mugabe tried hard to stop. Other African countries have used barter items like tinned sardines when things have gone a big cr@p for the banknotes. It is also not uncommon in some parts of Africa for bundles of notes to be used rather as we use single notes. They are checked by weight, no one cares much about counterfeit notes if there are any in the bundle - you would have to be mad to bother making dodgy notes, the photocopier paper is worth more than the face value.

The practicality of issuing a new currency, whilst not insurmountable, are huge and very expensive. IIRC the adoption of the Euro took about 2% of the EZ GDP at the time of crossover. Its a racing certainty no country will start over. Much easier is to systematically destroy the fiscal restraints that make the Euro a stable currency. That process started in 2000 when Italy was let in. It is ongoing as the ECB illegally bails out the Irish domiciled fraudsters (oops, I meant to say banks).

Big business wants the Euro. Therein lies the answer to every question ever asked about it.

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There is a lot of talk on this forum about what happens if the Euro fails either all over europe or in certain countries. It appears that it is a major operation involving the distribution of notes and coins let alone printing them . My question is this , when the Euro was introduced did the governments (civil servants ) of those countries keep a supply of Drachma,Escudos ,punts etc and if so the question of changing back to the old currency would be simplified in that after the close of business on a saturday the currency could be distributed and with a non trading sunday and a bank holiday monday the euros could be exchanged, not forgetting that a very large proportion of transactions are electronic nowadays. I have always wondered why there is dual pricing in some european countries and this may be part of the reason why. Any thoughts on the feasability of this

Remember every country has its own, distinct paper and coinage in the Euro. The UK even has its own serial code number assigned.

The banks/shopkeepers could identify which country the notes are from and charge you accordingly

https://secure.wikimedia.org/wikipedia/en/wiki/Euro_banknotes

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  • 284 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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