In the previous post, I covered the phase-out of the gold standard. During the times when we were using commodity money, a medium of account(MoA) was developed that is valid for both gold and cash. For this to happen, one had to be fixed on the other. Silver was abandoned in the 19th century, and […]
https://www.themoneymischief.com/back-to-basics-pt-2-its-all-about-appearances/
In this and the next few posts, I will examine how money determines the price level. It seems quite appropriate to start with the silver standard first. Let’s start by assuming that our unit of account is a pound of silver or “PS” for short. When defining money, we can use many different criteria such […]
https://www.themoneymischief.com/back-to-basics-pt-1/