Saturday, September 26, 2015

Dirk Ehnts — Adam Smith on tax-driven paper money

I am teaching Origins of Political Economy this fall which allows me to (re)read some classical books starting with Adam Smith. Having read Ricardo, students were wondering whether the metalist view still holds today and if not, what replaced it. I found this paper by Stephanie Bell [now Kelton] very enlightening, which contains a quote from Adam Smith. Here is the full paragraph (source) from ‘Chapter II (continuation): On Money considered as a particular Branch of the general Stock of the Society, or of the Expense of maintaining the National Capital‘:
You might want to keep this quote.

econoblog 101
Adam Smith on tax-driven paper money
Dirk Ehnts | Lecturer at Bard College Berlin

2 comments:

Mathew Forstater said...

hey, just FYI, i had a paper in 2005 with quotes from Adam Smith, J.S. Mill, Wicksteed, Jevons, Marx and others demonstrating their understanding of "tex-driven" money.:

http://cas2.umkc.edu/econ/economics/faculty/Forstater/papers/BookChaptersEnclopediaEntries/TaxDrivenMoney.pdf

There was an earlier working paper version issued in 2004. enjoy! mat

Tom Hickey said...

Thanks, Mat.