Rogoff: Central Banks Looking at Digital Currencies

Ken Rogoff discusses the use of cash in society, focusing on India's demonetization and its economic impact. He compares global cash policies, highlighting Australia's and the U.S.'s approaches. The conversation shifts to currency depreciation linked to corruption, and concludes with insights on Bitcoin and blockchain technology.

What was a major issue with India's demonetization according to Ken Rogoff?

• Large denomination notes were not removed.

• The demonetization was done over a long period.

• The new bills were not printed in time.

• It was well-planned and executed.

How is Australia approaching the idea of restricting cash?

• By increasing the number of large denomination notes.

• By immediately removing large denomination notes.

• By appointing a commission to study the black economy.

• By following Sweden's cashless model.

What sector in India was most affected by the demonetization?

• Technology

• Real estate

• Agriculture

• Manufacturing

What is a potential long-term effect of India's demonetization on its citizens?

• Increased use of cash

• Switch to digital bank accounts

• Decrease in biometric usage

• Higher corruption levels

What is a significant challenge of Bitcoin as a currency replacement?

• Its stability

• Its volatility

• Its widespread acceptance

• Its technological simplicity

What is a key feature of blockchain technology?

• It enhances security and prevents hacking.

• It increases hacking risks.

• It is only used for Bitcoin.

• It is outdated technology.

What are central banks considering for the future of digital currencies?

• Banning all digital currencies

• Ignoring digital currencies

• Developing their own digital currencies

• Using only Bitcoin