Many here have maintained that the CBI's 30 Trillion monetary base (money supply) cannot sustain a 1:1 revalue. I still say anything is possible with the Banking Cartel. I've done some research OFF-LINE (public library) and found the following -- According to the Fitzroy Dearborn Encyclopedia of Banking & Finance (tenth edition - Charles J. Woelfel) the following definitions were provided. Unfortunately this was obtained off-line (library), and you will have to do your diligence to obtain same information.
1- Swap Network - p.1102. A series of short-term, reciprocal credit lines in foreign currency operations. The swap network enables the Federal Reserve to exchange (swap) dollars for the currencies of 14 foreign nations through their central banks, up to previously agreed upon amounts. The Bank For International Settlements (BIS) is part of the swap network for the specified currencies it holds.
Any participant can initiate a swap drawing. Transactions are conducted through the Federal Reserve Bank of New York, which acts for the Federal Reserve System and the United States Treasury in foreign currency operations. As in domestic money market operations, the New York Fed acts under authorization and a directive from the Federal Open Market Committee (FOMC). It also consults closely with the U.S. Treasury on all operations.
2 - Open Market Operations - p.869. The purposes of open market operations may be summarized as follows:
1) to contract or expand the volume of excess reserves of members banks and thus affect the credit expansion power of member banks,
2) to influence the level of money rates through the quantitative effect upon bank excess reserves,
3) to provide orderly markets for government securities,
4) to influence the market for bills and commercial paper and levels of rediscounting and borrowing by member banks,
5) to exercise effect upon foreign exchange markets and international capital movements through the effects upon money rates.
3 - Monetary Base - p. 751. The liabilities of the Federal Reserve System are its currency and the deposits of member banks. The total of these two liabilities is called the monetary base. Changes in the MONETARY BASE, through an OPEN MARKET OPERATION, for example, are the FIRST step towards changes in the money supply.
So the dinar that is currently on the CBI's books as a "liability" may be "swapped" or interchanged with other member central banks or Federal Reserve agencies for "assets" such as (OTHER foreign curency, gold, silver, etc (OIL).) and thus affect "contraction" or "expansion" of the money supply as needed for that "particular" central bank -- also INCREASE or DECREASE reserves as desired.
