Backed money (reply to Davidson)

[mike sproul <msproul@xxxxxxxx>]

Paul:

Well, sorry to say I haven't read your book, but on the other hand
I'll bet you haven't read my cogitations on fiat/backed money, which are
available for free at
http://www.csun.edu/~hceco008/rbd2000.doc

and

http://www.csun.edu/~hceco008/critique.doc

Fair is fair. How about posting pp. 94-101, or a summary thereof, on
PKT?

Best regards,
Mike Sproul







This question of backing vs. fiat money is really irrelevant.  If one
believes that money is an institution created by society for used by law
abiding citizens, then the answer to this entire puzzle is clearly
spelled
out on pp.  94-101 of my POST KEYNESIAN MACROECONOMIC THEORY book.


>I don't know about China, but wasn't there a law to the effect that one
>piece of stamped bark was to be accepted for so much silver on pain
>of severe penalty?


A law?  Heavens was it a civil law of contracts.

What is so frustrating is, I can understand why mainstream economists
may
not want to read my POST KEYNESIAN MACROECONOMIC THEORY book