Index

A | B | C | D | E
F | G | H | I | J
K | L | M | N | O
P | Q | R | S | T
U | V | W

A

Agriculture, 102, 165, 173–74

American Revolution, 11, 22

“Anarchy” of production, 155–56

Apoplithorismosphobia, 60–61, 72

Aristophanes, 50

Austria (Austro-Hungarian Empire), 6, 21, 33, 118–19, 130n, 141, 150n

money and banking policy of, 66

Austrian School of economics, 54See also Circulation Credit (Monetary) Theory

Autarky, 174

Averages (arithmetical means), in determining index numbers, 77–78

B

Balance-of-payments, doctrine of foreign exchange, 25–31, 44–51

Banknotes, prohibition against, not covered by metal, 39ff.

Banking policy

history of, 62–66, 116–23, 132–34, 140–46

“needs of business” doctrine, 103–05, 121–23See also Free banking; Germany; Monetary reform; United States

Banking School, 42, 44, 54, 66, 103–05, 122, 130

Banks, government intervention in, 125–26

Bastiat, Frédéric, 133

Bendixen, Friedrich, 42

Bills of exchange, xvi, 105

Bimetallism, 61, 94

Böhm-Bawerk, Eugen von, 56, 191

Bourse, 4n

Business cycles. See Trade cycles

Business forecasting (speculation), 7–8, 146–49, 195–96

C

Cantillon effect (injection effect), 85ff.

Capitalism, 35

Capitalistic (market) production, 34–35, 155–60, 171–72, 199

Cassell, Gustav, 72

Chartism, 58n, 20

Circulation Credit (Monetary) Theory of the Trade Cycle, xvii, 53, 101–15, 119–26, 132–40, 149–53, 160–63, 183–85, 189

Classical economics and value theory, 54

Classical liberalism. See Liberals (liberalism)

Coefficient of importance, in computing index numbers, 78–79

Commodity bills. See Bills of exchange

Commodity money, 62n

Commodity prices, 172–73

Consumers, 156–58

Continentals, 11, 22

Credit expansion, halting the, 14

Credit expansion, xix, 104, 162

course of business cycle and, 85–88, 105–15, 119, 127–28, 160–62, 195–202

creditor-debtor relations and, 88–93

crisis and, 113–15, 118n, 127, 155–83

demand for, 121–23, 125–26, 132–34, 183–88

interest rates and, 107–09, 140–46, 195–202See also Circulation Credit (Monetary) Theory; Currency School; Malinvestment

Credit money, 61, 81

Credit, commodity versus circulation, xix, 104–05, 193–94

Currency profits and losses, 23

Currency School, 25–26, 44, 49, 53, 66, 97–99, 101, 108, 122–23, 126, 128–29, 132–34, 149–50

D

Deficit financing, 35–39

Deflation (deflationism), xv, 30, 60–61, 72

as check against demand for foreign exchange, 30

Democracy, economic, 158

Demonetization, 3

Douglass, William, 122

E

Easy money, 139, 185, 197See also Credit expansion

Economic crisis. See Credit expansion

Economic measurement. See Index numbers; Statistical studies

Economic thought

history of, 53–56See also Banking School; Circulation Credit (Monetary) Theory; Currency School; Quantity Theory

Empirical studies, 135–36

England, monetary policy of, 33, 68, 125–26, 129, 150

Entrepreneur, role of, 157–60

Exports, monetary depreciation and, 86–87

F

Federal Reserve System. See United States

Fiduciary media, 103, 125

defined, 62

Final state of rest, 72

Fisher, Irving, 59, 82ff., 87–88, 96

Fisher's Plan, 59, 82ff., 87–88, 96

Flexible standard. See Gold exchange (flexible) standard

Flight to real values. See Inflation

“Forced savings.” See Savings, “forced”

Forecasting, 146ff.

Foreign exchange rates, and war, 21ff.

Foreign exchange, rate, “final” (“natural” or “static”), 24, 26, 31

rate, explained by balance-of-payments, 46

speculation, 5, 9–12, 14–18, 23–24, 26–31, 35–36

France, 117

Free banking, xvii, 15n, 124–25, 130, 140See also Banking policy; Monetary reform

French Revolution, and inflation, 11, 22

G

Germany

money and banking policy of, xv, 3, 5, 10, 12, 14–17, 21, 22, 31–38, 40–42, 60, 66, 68, 79, 83–84, 117, 121, 123

science and ideology of, 47, 54–55

Treaty of Versailles and reparations and, 5n, 34–38

value of currency against gold, 16, 23

Giro banking system, 40

Gold (coin or “pure”) standard, 2, 18–20, 20n, 41n, 49–50, 60–61, 67–73, 93–95, 152

definition of, 23

manipulation of, 69ff.

Gold exchange (flexible) standard, 18–20, 40, 62–66

confidence in the new money under, 42

Gold outflow (capital flight), 25–26, 48–49

Gold premium policy, 41, 141

Gold

costs and benefits of, 63

demand for, 62

supply and production, 18, 19, 60–68, 72, 96, 134, 176–79

value of, 67, 71ff.

Gossen, Hermann Heinrich, 54, 85n

Government intervention, 169–70

in international monetary movements, 25

Gregory, T.E., 28n

Gresham's Law, 2, 25–26, 50, 94

H

Haberler, Gottfried, 76n

Hansen, Alvin H., 193

Harvard Three Market Barometer, 135–37

Hayek, Friedrich A., xi

Helfferich, Karl, 34

Historicism (Historical-Empirical-Realistic School), 66, 98

Hoarding, prohibition of, of foreign moneys, 30

Hume, David, 7

Hungary, 8, 17

Hyperinflation

collapse of paper monetary system under, 30See also Inflation

I

Ideology, 146

influence of, 43–44, 121, 123–27, 131, 138–39, 174–76, 179–81

Imaginary construction, 73–76

Immigration, 170

Index numbers, 57–60, 77–79, 80–88

Index standard, 58, 96

Inflation

arguments for, xviii, 31–33

as a kind of a tax, 32

as creating illusory prosperity, 33

as a product of human action, 38, 43

as a psychological aid to economic policy, 33, 38

as a remedy against overly high wage rates, 178

course of, 2–13, 16–18, 44–45, 85–88, 117–18, 162, 198

crack-up boom (crisis and panic), 7–14, 114

creditor-debtor relations under, 7–9, 88–94

defined, 2n

disrupts business calculations, 6–8, 33

“flight to real values,” 8–9, 114, 162–63

foreign exchange and, 36, 45

international trade and, 21–24, 25–31, 44–51, 87

paper money, 117

shift to foreign money and specie under, 10–11

speculation under, 9–10

Inflationism, as a lesser evil, 31–32

Institutionalism, 54

Interest rates

demand for lower, 121–23, 160–63

effects of inflation on, 7–8

effect of credit expansion on, 7, 107–08, 142–44, 185–88, 196–202

gross, 83

influence of banks and government on, 104–05, 136–38, 191–93, 196–202

natural rate versus money rate, 107–15, 120, 163

price premium, xv, 82–84, 109–15, 134

market (“natural” or “static”), 161, 195–96

International cooperation, 140–42, 152

Interventionism, xvii–xviii, 127, 180See also Government intervention

Italy, 117

J

Jevons, William Stanley, 54, 58n

Justice, 89

K

Keynes, John Maynard, xviii, 59, 96, 152, 193, 197

Knapp, Georg Friedrich, 12n

Kondratieff, N.D., 117n

L

Labor, 157–58, 164–69, 178–79, 187, 195–96. See also Wages; Unemployment

Legal tender laws, 11

Lerner, Abba, 193

Liberals (liberalism), 68, 93–94

Lowe, Joseph, 58

M

Machlup, Fritz, 64n

Malinvestment, xvi, 109–11, 114–15, 142, 160–63, 178, 196–201

Mandats, 11, 22

Marks, 10

Marxian doctrines, 100, 155–56

Measurement. See Index numbers; Money; Statistical studies

Menger, Carl, 54, 76n

Mercantilism, 48

neo-, 30

Modern economy, greater importance of money to, 12

Monetary depreciation (appreciation), 3, 15, 36, 43, 106, 110, 152

Monetary manipulation, 57–60, 80–82, 88–93, 140–46See also Gold standard

Monetary reform, 14–24, 39–44, 138–40, 149–50, 179–81

Monetary standard, subsidiary versus vassal, 19

Monetary theory of the trade cycle. See Circulation Credit (Monetary) Theory of the Trade Cycle

Monetary unit

purchasing power of, xiv, 2–7, 22–24, 26–31, 68–76, 88–93, 105–07, 116–17, 133–34

purchasing power of, measuring, 73ff.

Monetary value, in the short run, 23

Money (money substitutes), 57, 61–62, 103–05, 128

as standard of deferred payments, 58

demand for, 2–6, 8–9, 62n, 103

external exchange value of, 1n, 76n

internal objective exchange value of, 1n, 76n

market, 41–42, 140–45

“scarcity of,” 7, 42

shortage of notes of, 6, supply of, 18, 39

subjective exchange valuation of, 74

treated as capital stock, 21See also Stabilization of prices; State Theory of Money

Monometallism. See Gold standard; Silver standard

Multiple commodity standard, 58–60, 81–82, 90

N

Natural versus money interest rates. See Interest rates

Necessities versus luxuries, 28

Needs of business, 103–05, 121–23, 127–28

Nominalism, 54, 58n

O

Overproduction theory of the trade cycle, 100

Overstone, Lord Samuel Jones Loyd, 53, 98, 119, 131

P

Paper money. See Credit money

Parity, between paper and commodity moneys, 93

Peel's Bank Act (1844), 39, 44, 55, 112n, 126, 134

Pessimism, 99

Poland, 17

Post office savings institution, 150

Price level fallacy, 74, 151–52See also Index numbers

Price premium. See Interest rates

Price supports and subsidies, 172–73

Prices, 88–93, 155–60, 195–96

as indices of scarcity, 196

Producers’ policy, 159–60

Proudhon, Pierre Jean, 133

Psychological and intellectual theories of the trade cycle, 100–01

Pump-priming, 184

Purchasing power parity, 26, 45–46

Q

Quantity theory of money, 4, 25, 53, 57, 81, 133

R

Rathenau, Walter, 37n

“Rationalization,” 159, 171

Re-deflation, 185, 202

Reparations, war, 34ff.

Reserves, interest on “idle,” 65ff.

Ricardo, David, 20, 53, 63

Romanovs, 8n

Röpke, Wilhelm, 117n

Russia, 8n

S

Savings, “forced” (“compulsory”), 106, 111–13, 128, 129

Schaefer, Carl A., 19n

Scrope, G. Poulett, 58

Seipel, Ignaz, 6n

Seisachtheia, 93

Silver standard, 61

Smith, Adam, 7, 63, 121

Speculation, 17, 143

Spencer, Herbert, 148

Spiethoff, Arthur, xviii

Stabilization crisis, 118

Stabilization of prices (monetary value), 55, 57, 72, 80–91, 97, 151–52, 172–74, 176–78

State Theory of Money, 12n, 58n, 69, 79

Stationary economy, 91, 97

Statist Theory, 43–44See also Government intervention

Statistical studies, xvi, 73–79, 135–36, 146–49

Stock market, 144–45

Subjective value theory, 54

Suess, Eduard, 72

T

Tabular standard, 58ffSee also Multiple commodity standard

Taxation, 175–76

as check against demand for foreign exchange, 32–38

as affecting the entire economy, 32

public opinion and, 37

Terminology, 76n, 103n

Theirs, Louis Adolphe, 11

Time preference, 200

Tooke, Thomas, 123

Trade cycle theories, 99–103, 119–21, 160See also Circulation Credit (Monetary) Theory of the Trade Cycle; Credit expansion

Trade cycles, 56, 97ff.

Translations, xix

U

Underconsumption theory of the trade cycle, 100

Unemployment, 164–72

Unions, labor, xviii, 166, 187

United States, agriculture of, 102, 173–74

Federal Reserve System of, 70, 126, 132

monetary policy of, 125–26, 150

V

Vaihinger, Hans, 74

W

Wages, 165

Walras, Leon, 54, 132

Weather theory of the trade cycle, 100

White, Horace, 11

Wicksell, Knut, 107, 132

World War I, 69, 86