Muggle/Magic Business and Money Exchange

[Steve]

No: HPFGUIDX 46542

--- In HPforGrownups at y..., "MrNipha" <psnow at n...> wrote:
> --- In HPforGrownups at y..., illyana delorean <illyana at m...> wrote:
> > >bboy_mn wrote:
> > 
> > ... ... ... Probably a better example is Gringotts bank. They have 
> >some need to exchange muggle >currencies. 
> 
> Illyana:
> > 
> > This I totally agree with. Perhaps the goblins create business 
> > relationships with squibs who own muggle shops or something... ... ...

Paul Addes:
> 
> To me it seems there would be enough incoming muggle money in the
> money exchange business to not need any contact with the Muggle 
> world for the Gringotts' goblins to obtain Muggle money.  There is 
> a need for all muggle-borns to trade Muggle money for Wizard money, 
> and perhaps even some of the mixed-bloods if the main bread winner 
> was the muggle parent.  I believe there would be enough Muggle money 
> coming into Gringotts to supply any need for the exchange of Wizard 
> money to Muggle money, since contact with the muggle world is 
> intentionally limited.
> 
> Paul

bboy_mn responds:

I was also a little confused by your post. Don't take it personally,
confused is a pretty natural state of being for me.

I took your post to say that there was a SHORTAGE of Muggle money and
that it had to be brought in from the outside. What I was implying was
that there was an EXCESS of Muggle money that the Goblins needed to
get rid of.

Which is right? Well, it's entirely possible that neither is right.
There may be a relative balance of muggle and magic money. Wizards do
periodically need muggle money as when Molly paid for the muggle taxis
to take everyone to London.  So the problem of unbalanced currency
exchange may not even exist. My personal speculation, as noted before,
leans toward an excess of muggle money in the wizard banks. 

I also think that the Goblins are so ruthless and money-grubbing, that
they don't miss a trick. If they can make money in the muggle world,
they won't hesitate to do it. 

And, along that line, why do I think the Pounds to Galleons currency
exchange rate really sucks? Well, suck for the people exhanging money;
I'm sure it's great for the Goblins.

Just a few thoughts.

bboy_mn