This is a circular argument Douglas. If the currencies value is determined by 
what it can buy, thus what indirect labour it commands, what determines what it 
can buy.
________________________________________
From: [email protected] [[email protected]] On 
Behalf Of Doug Henwood [[email protected]]
Sent: Sunday, August 05, 2012 9:44 PM
To: Progressive Economics
Subject: Re: [Pen-l] Determinaton of the value of state token money

On Aug 5, 2012, at 3:39 PM, [email protected] wrote:

> But surely the truth must be somewhere inbetween. The Soviet Union had state 
> power, but not the ability to make its currency valuable internationally.

A currency's value depends on what it can buy. The ruble could buy Soviet TVs, 
which as The Economist snottily put it, whose most exciting feature was 
wondering whether the set would burst into flames. It could not buy a Sony.

Doug
_______________________________________________
pen-l mailing list
[email protected]
https://lists.csuchico.edu/mailman/listinfo/pen-l

The University of Glasgow, charity number SC004401
_______________________________________________
pen-l mailing list
[email protected]
https://lists.csuchico.edu/mailman/listinfo/pen-l

Reply via email to