ABSTRACT
The Value of Money is to appearance an expression as precise, as free from possibility of misunderstanding, as any in science. The value of a thing is what it will exchange for: the value of money is what money will exchange for; the purchasing power of money. The value of money is inversely as general prices: falling as they rise, and rising as they fall. The demand for money differs from the demand for other things in this, that it is limited only by the means of the purchaser. The money and the goods are seeking each other for the purpose of being exchanged. They are reciprocally supply and demand to one another. It is indifferent whether, in characterizing the phenomena, we speak of the demand and supply of goods, or the supply and the demand of money. The supply of money, in short, is all the money in circulation at the time.
