Commodity money is money whose value comes from a commodity of which it is made. Commodity money consists of objects that have value in themselves as well as value in their use as money.
Examples of commodities that have been used as mediums of exchange include gold, silver, copper, peppercorns, large stones (such as Rai stones), decorated belts, shells, alcohol, cigarettes, cannabis, candy, barley, laundry detergent, etc. These items were sometimes used in a metric of perceived value in conjunction to one another, in various commodity valuation or price system economies.
Read more about Commodity Money: Aspects, History, Functions of Commodity Money, Legal Tender Issues and Commodity Money
Famous quotes containing the words commodity and/or money:
“For things to have value in man’s world, they are given the role of commodities. Among man’s oldest and most constant commodity is woman.”
—Ana Castillo (b. 1953)
“Who keeps the tavern and serves up the drinks? The peasant. Who squanders and drinks up money belonging to the peasant commune, the school, the church? The peasant. Who would steal from his neighbor, commit arson, and falsely denounce another for a bottle of vodka? The peasant.”
—Anton Pavlovich Chekhov (1860–1904)