Department of Monetary Policy

The Illuminatia Department of Monetary Policy (DMP) is an agency of the Illuminatian government that manages the value of currency and encourages the responsible management of wealth collectively, by instituting policies discouraging the consolidation of monetary wealth, the most notable of these policies being the negative interest rate.

Through the Office of the Monetary Network (OMP), the DMP oversees the Monetary Network, an island-wide communication system that forms Illuminatia's entirely electronic monetary system. The DMP also oversees the Office of the Central Bank (OCB), the agency responsible for establishing, administering, and enforcing Illuminatia's negative interest rate.

In collaboration with the Department of Standards and Measures, the DMP has established the Monetary Unit (μ) as the official basic unit of monetary currency of Illuminatia. Transactions of impressively large proportions are often executed using multiples of the Kilomonetary Unit (Kμ).

Central Bank

See article: Office of the Central Bank

The Office of the Central Bank engages in transactions with top-tier banks and lenders in and manages transactions between these institutions in such a way as to promote the stability of the value of the Illuminatian currency, the Monetary Unit. Inflationary and deflationary pressures are held within strict bounds, resulting in a currency that maintains a similar value over multi-generational periods of time. The OCB is also responsible for the negative interest rate monetary policy.

Negative interest rate

See article: Negative interest rate

The negative interest rate monetary policy of the Office of the Central Bank systemically encourages individuals and commercial entities to reinvest excess monetary wealth into assets that are more beneficial to society, such as enterprise and infrastructure.

Thanks to this policy, wealth in monetary form that sits idle in the long term loses value as it is assessed negative interest which causes the funds to lose value. Wealth that is in a fluid state of redistribution is less affected by the negative interest rate, which is progressive in relation to the magnitude of the monetary assets of a depositor. Everyday personal transactions and personal operating assets in currency form are virtually unaffected by the negative interest rate due to monetary policy at the Central Bank level that most directly applies the negative interest rate to deposits of larger quantities at banks at the stratum closest to the Central Bank.

This monetary policy encourages the distribution of wealth through lending, promoting the investment of capital in enterprise, infrastructure, employment, and other activities that inspire money to flow through the economy.

Monetary Network

See article: Monetary Network

All monetary transactions in Illuminatia are conducted electronically on the Monetary Network, under the operational oversight of the Office of the Monetary Network. This network of communication channels and devices transmits data regarding transactions in real time. While the system is secure and redundant, the system is also open. Information regarding all monetary transactions is feely available to the public in real time, ensuring an honest monetary system and discouraging corruption and illicit activity.

The system uses both wired and wireless communication channels, allowing Illuminatians to utilize personal mobile wallet-sized devices that function as their key to their funds and primary tool for authorizing and initiating transactions—similar to the depreciated too historically used on Earth known as the credit card.

Office of the Monetary Network

See article: Office of the Monetary Network

The Office of the Monetary Network, in addition to managing the operational considerations of a large, intricate continent-wide electronic communications network, also supervises an information distribution apparatus, which reports to the public information about monetary transactions. The OMN disseminates reports highlighting trends in the flow of monetary wealth through the economy, providing an important mechanism for enabling commerce, economic exchange, and pecuniary negotiation.