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Business Quote by Daniel Tudor

“Because each person was only allowed to convert a maximum of 100,000 won (around US$30–40 at the time, according to black market rates). Anyone holding a sum greater than that—as someone engaged in business naturally would—saw their savings wiped out.” quote by Daniel Tudor
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““Because each person was only allowed to convert a maximum of 100,000 won (around US$30–40 at the time, according to black market rates). Anyone holding a sum greater than that—as someone engaged in business naturally would—saw their savings wiped out.””

Daniel Tudor

About This Quote

Source Book: The Rise of the Korean Economy, 2011

Currency controls limited personal wealth, causing large savings to be confiscated under strict limits.

In simple terms: Money caps hurt savers.

Key Takeaway

Beware of restrictive financial policies.

Themes

economics policy inflation

Mood

cautionary analytical

Type

economic historical

When to use this quote

  • personal finance
  • investment planning
  • policy analysis

Key Concepts

capital controls black market rates

Questions to Reflect On

  • What alternatives exist to protect savers?
  • How do black markets affect everyday people?
A Different Perspective

Such caps can also protect economies from hyperinflation.

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