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tulip bulbs were traded for houses too at one stage.  Though I admit gold has been a bit more resilient over the ages.
by HiD on Sat Apr 28th, 2007 at 07:33:56 AM EST
[ Parent ]
You can have inflation with gold too, as the Spanish found when they looted Central America and flooded the market with newly minted gold money.

It's all relative.

Now, I take the view that Money is "Dynamic Value" and exists only in the transitory moment of Value Exchange by reference to a "Value Unit" (Mig's Numeraire).

Capital, on the other hand (underpinned by the "Property" relationship) is "Static Value" or "Potential Money".

IMHO "Value" is a direct analogy for "Energy" , and that Economics could be thought of as the "Physics of Value".

"Any economic unit can emit money. The serious problem is to get it accepted" Hyman Minsky

by ChrisCook (cojockathotmaildotcom) on Sat Apr 28th, 2007 at 08:00:05 AM EST
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