The taboo of inconvertibility

Jacques Riboud

Chapter 7 in The Mechanics of Money, 1980, pp 186-224 from Palgrave Macmillan

Abstract: Abstract The concept of backing, in terms of precious metals or other commodities, long dominated monetary thinking and also influenced the notion of fiduciary money. It led people to identify the unit of money with the commodity it represented and define it in terms of the very thing that acted as its guarantee. This idea obscured the true nature of money and distorted its mechanisms. These distortions can plainly be perceived by comparing the interpretation of money from two separate points of view: from that of a commodity backing and that of the transaction (or ‘exchange’) function.

Keywords: Interest Rate; Monetary Policy; Central Bank; Banking System; Money Supply (search for similar items in EconPapers)
Date: 1980
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-1-349-05112-0_17

Ordering information: This item can be ordered from
http://www.palgrave.com/9781349051120

DOI: 10.1007/978-1-349-05112-0_17

Access Statistics for this chapter

More chapters in Palgrave Macmillan Books from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().