Honest Money

Chapter one entitled "The Value of Money" uses the example form Daniel Defole novel "Robinson Crusoe" to explain the value of the items left on the ship before it sank. Crusoe imputed value to each of the tools he had. He then found out the future value of each tool and what he expected the future output of each tool to be. In the Robinson Crusoe example he does not look on the past in …

…divisibility, portability, durability, recognizability, and scarcity. Money needs to be divisibility because it needs to be able to be counted. It needs to be portability so you can deal with it. It needs to be durability so you do not have to keep replacing it. It needs to be recognizability so when you try to use your money the other person knows the value. It needs to be scarcity so it has value. ------------------------------------------------------------------------ **Bibliography**