The Theory of Money and Credit
Encyclopedia
The Theory of Money and Credit is an economics book written by Ludwig von Mises
, originally published in German as Theorie des Geldes und der Umlaufsmittel in 1912. Along with Carl Menger
's Principles of Economics
, and Eugen von Böhm-Bawerk
's Capital and Interest
, this work was a major contribution to economic theory.
Its first English translation was published in 1934, and Part Four was added by Mises to the English language edition in 1953. In this work, Mises looks at the nature and value of money, and its effect on determining monetary policy
. Included is his regression theorem, that tries to explain why money is demanded in its own right, as moneys at first glance do not serve a consumable need. Mises explained that moneys only can come about after there has been a demand for the money commodity in a barter economy.
The German word Umlaufsmittel literally translates as "means of circulation" and was translated into the text of the English version as "fiduciary media". However, the publisher thought the unusual terminology would irritate readers and substituted "money and credit" in the title, thereby losing the specific distinction Mises had made in selecting his original term.
Ludwig von Mises
Ludwig Heinrich Edler von Mises was an Austrian economist, philosopher, and classical liberal who had a significant influence on the modern Libertarian movement and the "Austrian School" of economic thought.-Biography:-Early life:...
, originally published in German as Theorie des Geldes und der Umlaufsmittel in 1912. Along with Carl Menger
Carl Menger
Carl Menger was the founder of the Austrian School of economics, famous for contributing to the development of the theory of marginal utility, which contested the cost-of-production theories of value, developed by the classical economists such as Adam Smith and David Ricardo.- Biography :Menger...
's Principles of Economics
Principles of Economics
Principles of Economics is a book by economist Carl Menger which is credited with the founding of the Austrian School of economics...
, and Eugen von Böhm-Bawerk
Eugen von Böhm-Bawerk
Eugen Ritter von Böhm-Bawerk was an Austrian economist who made important contributions to the development of the Austrian School of economics.-Biography:...
's Capital and Interest
Capital and Interest
Capital and Interest is a three-volume work on finance published by Austrian economist Eugen von Böhm-Bawerk.The first two volumes were published in the 1880s when he was teaching at the University of Innsbruck....
, this work was a major contribution to economic theory.
Its first English translation was published in 1934, and Part Four was added by Mises to the English language edition in 1953. In this work, Mises looks at the nature and value of money, and its effect on determining monetary policy
Monetary policy
Monetary policy is the process by which the monetary authority of a country controls the supply of money, often targeting a rate of interest for the purpose of promoting economic growth and stability. The official goals usually include relatively stable prices and low unemployment...
. Included is his regression theorem, that tries to explain why money is demanded in its own right, as moneys at first glance do not serve a consumable need. Mises explained that moneys only can come about after there has been a demand for the money commodity in a barter economy.
The German word Umlaufsmittel literally translates as "means of circulation" and was translated into the text of the English version as "fiduciary media". However, the publisher thought the unusual terminology would irritate readers and substituted "money and credit" in the title, thereby losing the specific distinction Mises had made in selecting his original term.
Publication history
- 2009: Auburn, Al. Ludwig von Mises InstituteLudwig von Mises InstituteThe Ludwig von Mises Institute , based in Auburn, Alabama, is a libertarian academic organization engaged in research and scholarship in the fields of economics, philosophy and political economy. Its scholarship is inspired by the work of Austrian School economist Ludwig von Mises...
. Hardcover - 1981: Indianapolis,. Ind. Liberty FundLiberty FundLiberty Fund, Inc. is a private, educational foundation established and headquartered in Indianapolis, Indiana, USA. It is dedicated to the study of the ideal of a society of free and responsible individuals...
. ISBN 0-913966-70-3. 541 pages. Hardcover. (Softcover ISBN 0-913966-71-1). - 1978: Irvington-on-Hudson, N.Y.: Foundation for Economic EducationFoundation for Economic EducationThe Foundation for Economic Education is one of the oldest free-market organizations established in the United States to study and advance the freedom philosophy. Murray Rothbard recognizes FEE for creating a "crucial open center" that he credits with launching the movement...
. - 1971: Irvington-on-Hudson, N.Y.: Foundation for Economic Education.
- 1953: New Haven, Conn.: Yale University PressYale University PressYale University Press is a book publisher founded in 1908 by George Parmly Day. It became an official department of Yale University in 1961, but remains financially and operationally autonomous....
. - 1934: London: Jonathan Cape Ltd. First translation (by Harold E. Batson) into English from the original German.
- 1924: 2nd edition in German.
- 1912: Vienna: Theorie des Geldes und der Umlaufsmittel. (1914 review by J.M. Keynes]
Full text
- The Theory of Money and Credit, 1953 edition:
- The Theory of Money and Credit, 1981 edition:
- Foreword to the 1981 Edition by Murray RothbardMurray RothbardMurray Newton Rothbard was an American author and economist of the Austrian School who helped define capitalist libertarianism and popularized a form of free-market anarchism he termed "anarcho-capitalism." Rothbard wrote over twenty books and is considered a centrally important figure in the...