"If a currency is to become a growing, an increasing reserve currency, there has to be not only a demand for it there has to be a supply of it"
- Robert C. Solomon
About this Quote
This quote by Robert C. Solomon recommends that for a currency to become a growing and increasing reserve currency, there must be both a demand and a supply for it. This means that there must be a need for the currency in the market, and there should suffice of it available to satisfy the demand. This is due to the fact that if there is a high need for a currency but inadequate of it available, then the value of the currency will increase, making it harder for individuals to access it. On the other hand, if there is a big supply of a currency but insufficient demand for it, then the value of the currency will reduce, making it less appealing to financiers. For that reason, for a currency to become a growing and increasing reserve currency, there need to be a balance in between the demand and the supply.
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