Guatemalan quetzal dollar, it was pegged to the French franc as well, since the quetzal utilized the gold standard. In 1925, coins in denominations of 1, 5, 10 centavos, , and 1 quetzal were introduced, although the majority of the 1 quetzal coins were withdrawn from circulation and melted. and 2 centavos coins were added in 1932. Until 1965, coins of 5 centavos and above were minted in 72% silver. and 1 quetzal coins were reintroduced in 1998 and 1999, respectively. Coins currently in circulation are: The first banknotes were issued by the Central Bank of Guatemala in denominations of 1, 2,
Monetary policy of the Philippines low. Errors in CPI measurement could lead to ineffective and unsuitable monetary policy response by the BSP which definitely result to detrimental effects to the economy. Another issue arising from monetary policies is the liquidity trap. This happens when inflation rate declines too much leading to a threat of deflation. Liquidity trap is defined as a situation in which there are zero nominal interest rates, persistent deflation and deflation expectations. In the event this occurs, bonds and money earn the same real rate of return thus making people indifferent to holding bonds or excess money. Given high budget deficits, the