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The goods, important for any certain way of life or any Certain group of leading branches, could fluctuate rather more In comparison with other currencies and still to save own clientele among People with any specific employment and habits.
The chapter XIV. Unfitness of the quantitative theory of money for our purposes
The approach from the point of view of the cash rests...
... And speeds of the reference
The remark on monetarism
Why indexation does not replace stable currency
Usual preconditions of the monetary theory that there is only one kind
Currencies, "the one and only money" also that there is no sharp distinction between
By high-grade money and substitutes of money, thus, are eliminated. Together
With them possibility of application of the so-called quantitative theory disappears also
Money, even as the remote approach to satisfactory with
The theoretical point of view to definition of value of money (and it is everything that given
The theory can give).
Production and as I continue to consider, "... With
The practical point of view one of the worst things which can with us
To happen, is if the general public again ceases to believe in the elementary
Positions of the quantitative theory ".>
The quantitative theory assumes, of course, that in the given territory is available
In circulation only one kind of the money, which quantity can be defined a way
Calculation homogeneous (or nearly so homogeneous) monetary units. But if the various
The currencies addressing in region, have no constant relative value,
The total volume of an active money can be defined only starting with
Relative value of currencies and any other sense, besides it it not
Has. The theory which is suitable only for a special situation, even if this
The situation prevailed during the long period, obviously, suffers the serious
Lack. Though we are inclined to take it on trust, essence of money at all
It is reduced to that in the given territory should exist only one them
Kind. Usually so occurs only because the governments interfered
To use of other kinds of money. But even thus currency monopoly never
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