Coin press

[kroner]

the problem with a currency that isn't backed is that the value is based purely on what people think it's worth. if people were to suddenly decide that the dollar or the euro or whatever wasn't worth anything and decided they would only accept gold or silver or tofu, then that currency would collapse, just like that.
one cause of inflation is when there's high demand compared to supply. consumers will pay more for the same value of goods because they are less available. producers (who are really the same people as the consumers) make more money and can afford to pay more for goods. this cycle devalues the currency over time.
the rate of inflation is also conneected to the money supply which is affected by all sorts of factors such as interest rates, balance of trade, investment, the printing of money and just about everything else.

but to reiterate the industriallist's point, none of this would ever have to consciously be dealt with in cantr. economics is the study of the phenomena which happen automatically in any sort of economy.

[Appleide]

Plus, before banks were introduced, inflation rate was very low, when people start borrow money, they have more money on their hand, so they buy more stuff, and the stuff have more demand, so the price rise, then peoples saleries need to rise to compensate for that. Then you have inflation.

[jeslange]

A coin press has already been created, but is not yet implemented in the game. Thanks for all of the good idea related to them.