Representative money

representativecommodity backednegotiatedsoft moneytoken
Representative money is any medium of exchange, often printed on paper, that represents something of value, but has little or no value of its own (intrinsic value).wikipedia
37 Related Articles

Medium of exchange

mediums of exchangeexchange mediumfreely exchangeable for goods
Representative money is any medium of exchange, often printed on paper, that represents something of value, but has little or no value of its own (intrinsic value).
Most forms of money can act as mediums of exchange including commodity money, representative money and most commonly fiat money.

Fiat money

fiat currencyfiatfiat currencies
Unlike some forms of fiat money (which may have no commodity backing), genuine representative money must have something of intrinsic value supporting the face value.
It was introduced as an alternative to commodity money and representative money.

Banknote

paper moneybanknotespaper currency
According to economist William Stanley Jevons (1875), representative money in the form of bank notes arose because metal coins often were "variously clipped or depreciated" during use, but representative money could not have its face value thus divided.
Banknotes were seen by some as an I.O.U. or promissory note: a promise to pay someone in precious metal on presentation (see representative money), but were readily accepted - for convenience and security - in the City of London for example from the late 1600s onwards.

Silver certificate (United States)

silver certificatessilver certificatesilver notes
Silver certificates are a type of representative money issued between 1878 and 1964 in the United States as part of its circulation of paper currency.

Commodity money

speciecommoditycommodity standard
This is in contrast to representative money, which has little or no intrinsic value but represents something of value, and fiat money, which has value only because it has been established as money by government regulation.

Money

monetaryspeciecash
The system of commodity money eventually evolved into a system of representative money.

Gold standard

goldgold exchange standardbacked by gold
As such, commodity money gave way to representative money and gold and other specie were retained as its backing.

Value (economics)

valueeconomic valuemonetary value
Representative money is any medium of exchange, often printed on paper, that represents something of value, but has little or no value of its own (intrinsic value).

Intrinsic value (numismatics)

intrinsic valuemelt valueintrinsic
Representative money is any medium of exchange, often printed on paper, that represents something of value, but has little or no value of its own (intrinsic value).

Commodity

commoditiescommodity pricescommodity good
Unlike some forms of fiat money (which may have no commodity backing), genuine representative money must have something of intrinsic value supporting the face value.

Face value

Face amountvalue of legal tender
Unlike some forms of fiat money (which may have no commodity backing), genuine representative money must have something of intrinsic value supporting the face value.

Coin

coinsspecieexergue
Historically, the use of representative money predates the invention of coinage.

William Stanley Jevons

JevonsStanley JevonsWilliam Jevons
According to economist William Stanley Jevons (1875), representative money in the form of bank notes arose because metal coins often were "variously clipped or depreciated" during use, but representative money could not have its face value thus divided.

Joseph Shield Nicholson

J. S. Nicholson
In 1895 economist Joseph Shield Nicholson wrote that credit expansion and contraction was in fact the expansion and contraction of representative money.

Monetary system

monetary standardcurrency systemsmonetary

History of money

monetary historyabandonmentan international currency of the early ages
It may have intrinsic value (commodity money), be legally exchangeable for something with intrinsic value (representative money), or only have nominal value (fiat money).

Treasury Note (1890–91)

Treasury Notetreasury notesTreasury (Coin) Note
The Treasury Note (also known as a Coin Note) was a type of representative money issued by the United States government from 1890 until 1893 under authority of the Sherman Silver Purchase Act in denominations of $1, $2, $5, $10, $20, $50, $100 and $1000.

Bretton Woods system

Bretton WoodsBretton Woods AgreementBretton Woods Institutions
The Bretton Woods system was the first example of a fully negotiated monetary order intended to govern monetary relations among independent states.

Digital gold currency

digital gold currenciesbelowdigital
It is a kind of representative money, like a US paper gold certificate at the time (from 1873 to 1933) that these were exchangeable for gold on demand.

Treasury Note (19th century)

Treasury Notes7.30 bondsearly civil war treasury notes
While the Treasury Notes, as issued, were neither legal tender nor representative money, some issues were used as money in lieu of an official federal paper money.