Quote Originally Posted by M-A Lagrange View Post
Actually it's not that simple. Zimbabwe as Tito's Yugoslavia show that under strong (rigid) government you have a crazy inflation.
The value of national currency is based on the international perception but also (mainly) on national perception of its value compare to external currency for no international exchange market currencies.
Admittedly, my knowledge of economic theory is not that great. I would guess it is a question of perception, both internal and external. Do the people in the country have faith in the currency; will the people outside of the country accept it in exchange for goods. How "good" the government is at governing may or may not necessarily matter.

That being said, I think we have a consensus that using an external currency until a self-sustaining government can be formed is the best option.