“Like a post office, a central bank does useful things. That fact that it does useful things does not make either institution efficient, at least not in its present-day form as a government agency. By “efficient” here I mean “better than the alternative.” Just as private firms can better deliver packages and letters, private institutions can better provide the services that central banks currently provide. If the analogy between the central bank and the post office seems farfetched, consider that government central banks owe their custom to legal restrictions against private currency-issuers, just as government post offices owe their custom to legal restrictions against private letter carriers.” Read more.
“In What Respects Will the Information Age Make Central Banks Obsolete?”
Via the Cato Institute.