Return on cash issuance under the currency board system in Iraq for the period (1952-1959)

Abstract

To finance its expenditures, the government relies on multiple sources, such as taxes, revenues from public projects if there are projects owned by the government that operate economically efficiently, open market operations, and cash issuance revenues achieved from issuing the new currency.

In this study, we attempt to clarify whether the government can resort to the proceeds of monetary issuance to finance its expenditures under the currency board system, which is the extreme form of exchange rate systems.