arihant magazine [2] This meant to say that the investors
who practised it put their money into as many different countries as possible,
so that the risk of loss owing to climatic or other disturbances might be
spread as widely as possible. So here we have this quiet country doctor
spreading all over the world the money that he gets for dosing and poulticing
and dieting his patients, stimulating industry in many climates and bringing
some part of its proceeds to be added to his store. Let us see how the process
works. First of all he has a bank, into
which he pays day by day the fees that he receives in coin or notes and the
cheques that he gets, each half year, from those of his patients who have an
account with him. arihant As long as his money
is in the bank, the bank has the use of it, and not much of it is likely to go
abroad. For the banks use most of the funds entrusted to them in investments in
home securities, or in loans and advances to home customers. Part of them they
use in buying bills of exchange drawn on London houses by merchants and
financiers all over the world, so that even when he pays money into his bank it
is possible that our doctor is already forming part of the machinery of
international finance and involving us in the need for an explanation of one of
its mysteries books for bank exams.
No comments:
Post a Comment