ABSTRACT
Confidence in a currency and the credibility of a particular central bank have increasingly become the subject of monetary policy discussion over the past 20 years. And this is quite justified, since these factors have a decisive impact on the expectations of transactors in terms of the value of money. The more confidence there is in a currency, and the more credible a central bank, the less reason will there be to fear a ‘flight into non-cash assets’, the more stable the velocity of circulation of money and prices will be, and the less the exchange rate will fall. However, confidence and credibility can also impact on the internal approval of a currency, which may have numerous effects (e.g. on identification with the community) but need not have an immediate influence on the internal and external value of money; today opinion surveys have become a benchmark of such internal acceptance.
