The Value of MoneyAnderson, Benjamin M. (Benjamin McAlester)
General
The Value of Money
Anderson, Benjamin M. (Benjamin McAlester)
Money
"How are we to get out of our circle:[96] The value of a good, A,
depends, in part, upon the value embodied in the goods, B, C, and D,
possessed by the persons for whom good A has 'utility,' and whose
'effective demand' is a _sine qua non_ of A's value? The most convenient
point of departure seems to be the simple situation which Wieser has
assumed in his _Natural Value._[97] Here the 'artificial' complications
due to private property and to the difference between rich and poor are
gone, and only 'marginal utility' is left as a regulator of values. But
what about value in a situation where there are differences in
'purchasing power'? How assimilate the one situation to the other?
"A _temporal regressus_, back to the first piece of wealth, which, we
might assume, depended for its value solely upon the facts of utility
and scarcity, and the existence of which furnished the first 'purchasing
power' that upset the order of 'natural value,' might be interesting,
but certainly would not be convincing. In the first place, there is no
unbroken sequence of uninterrupted economic causation from that far away
hypothetical day to the present, in the course of which that original
quantity of value has exerted its influence. The present situation does
not differ from Wieser's situation simply in the fact that some, more
provident than others, have saved where others have consumed, have been
industrious where others have been idle, and so have accumulated a
surplus of value, which, used to back their desires, makes the wants of
the industrious and provident count for more than the wants of others.
And even if these were the only differences, it is to be noted that
private property has somehow crept in in the interval, for Wieser's was
a communistic society. And further, an emotion felt ten thousand years
ago could scarcely have any very direct or certain quantitative
connection with value in the market to-day. Even if there had been no
'disturbing factors' of a non-economic sort, the process of 'economic
causation' could not have carried a value so far. It is the living
emotion that counts! Values depend every moment upon the force of live
minds, and need to be constantly renewed. And there would have been, of
course, many 'non-economic' disturbances, wars and robberies, frauds and
benevolences, political and religious changes--a host of historical
occurrences affecting the weight of different elements in society in a
way that, by historical methods, it is impossible to treat
quantitatively.[98]
Public-domain text, read in full here on John Shaqi.
Reviews
Reviews
No reviews yet
Be the first to share your thoughts on this work.
Elsewhere in the archive
Join the Discussion
Join the discussion
Sign in to leave a comment or review.
Sign InorCreate an account