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  1. 1 Kozgazdasagi Szemle (Economic Review)

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  1. 1 2008

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  1. 1 Gilanyi Z.

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Underlying problems with the current theory of money - the problem of cash-cover limits

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Gilanyi Z.
Kozgazdasagi Szemle (Economic Review)
|
2008
|
vol. 55
|
issue 2
136-148
EN
Mainstream economic theory attempted to respond to the Hahn Problem by placing limits on cash cover to resolve the difficulty of integrating into itself coherently the question of money defined as a means of exchange. The paper shows the biggest problem with such limits is not, as authors have claimed, that it gives the impression that money's use as a means of exchange impedes trade, but the cash-cover limit is not suited to modelling the means-of-exchange role, in other words, money defined as a means of exchange cannot be slotted into the theory using cash-cover limits.
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