banking principle

American  

noun

1. the principle that bank notes are a form of credit and should be issued freely in order to maintain an elastic currency.

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Example Sentences

Apparently it was an endeavor to remove still further the danger of sectional dissatisfaction that led the Monetary Commission to make its one serious departure from sound banking principle in framing its bill.

From Project Gutenberg

This brings up the whole question at issue between the “Currency Principle” and the “Banking Principle.”

From Project Gutenberg