Mises Institute Who Invented Money?
5 snips
Jul 12, 2025 Unravel the fascinating origins of money, tracing its evolution from barter systems to coins. Discover how everyday people shaped monetary systems, debunking the myth of state-created currency. Dive into intriguing historical examples, like cigarettes as money in WWII prisoner camps. Explore the insights of economic thinkers such as Cantillon and Menger, while grappling with modern misconceptions. This exploration is not merely historical; it serves as a crucial guide for understanding inflation and the importance of sound money.
AI Snips
Chapters
Transcript
Episode notes
Money Emerged Spontaneously
- Money emerged spontaneously from the difficulties of barter, not from government decree.
- People innovated by choosing a "go-between" good that facilitated exchanges efficiently.
Early Commodity Money Evolution
- Early societies used commodities like lentils or dates as money due to their useful properties.
- Metals later dominated because they were durable, divisible, and transportable, aiding trade expansion.
Cigarettes as POW Camp Money
- In WWII German POW camps, cigarettes naturally became money among prisoners.
- Other goods were priced and even loaned in cigarettes, showing spontaneous monetary emergence.