In a world of governments that are freely chosen by individuals without having to change their locations, that is, a world of panarchies, a panarchy might have fractional-reserve banking be legal. In that case, a bank note is a security. If it is also used as money, that’s up to the people living in that panarchy. Given that a bank note is a security, copying it is clearly fraudulent. That would be illegal in a panarchy that allowed fractional-reserve banking. If a panarchy allowed banks to develop freely with a variety of kinds of securities issued by the bank, such … Continue reading Copying Banknotes in Panarchy