Money

Bibliographic data

Monograph

Identifikator:: 1819853969

URN:: urn:nbn:de:zbw-retromon-207464

Document type:: Monograph

Author:: Cannan, Edwin http://d-nb.info/gnd/118666916

Title:: Money

Edition:: 6. ed.

Place of publication:: [London]

Publisher:: King

Year of publication:: 1929

Scope:: XII, 120 Seiten

Digitisation:: 2022

Collection:: Economics Books

Usage license:: Get license information via the feedback formular.

Chapter

Document type:: Monograph

Structure type:: Chapter

Title:: Part II. Further elucidations

Collection:: Economics Books

THE DEMAND FOR CURRENCY 71 the extreme limit, the policy would put a stop to the circulation of the currency, as it would all be hoarded, and exchanges of goods would be made by barter. But things are never pushed so far, because long before that happens substitutes for the existing currency are always introduced and check the rise of purchasing power. For example, as soon as a reduction of our present paper currency went so far as to make £1 worth more than 113 grains of fine gold, substitutes for it, in the shape of sovereigns and half- sovereigns brought from Sou!li Africa and elsewhere, would begin to come into use. Hence the doctrine of the elasticity of the demand for currency being equal to unity, though it may be usefully put forward as a first approximation for expository purposes, must not be taken as universally true. It certainly is not when rapid change of quantity and intelligent anticipation of the future exist. § 2. The Demand for Currency. Early in the preceding section I pointed out that while the supply of quickly consumable articles of which the annual output is large compared to the stock-in-hand at any moment can most conveniently be taken to be the periodical output, yet when we have to deal with things which last a long time, and therefore in ordinary language are said to be *“ used rather than “ consumed,” we often, as, for instance, in the case of houses, treat the quantity in existence rather than the periodical output as the * supply.” A corresponding distinction exists in regard to demand. The demand for houses and farms is not in most .iiscussions conveniently conceived as the demand for =ew houses to add to or replace the old and for ne’ arms just created on the outskirts of civilization. ™t - “".¢ demand of persons who wish Lb.

Access restriction

Copyright

fullscreen: Money

Monograph

Chapter

Table of contents

Download

Monograph

Chapter

This page

Image fragment

Citation links

Citation recommendation