The Review of Austrian Economics

, Volume 9, Issue 2, pp 83–107 | Cite as

In defense of fiduciary media—or, we arenot devo(lutionists), we are Misesians!

  • George Selgin
  • Lawrence H. White


Fiduciary media are not fiat money. A monetary system with a commodity standard, competitive banking, and the freedom to use fiduciary media among consenting transactors is consistent with justice, efficiency, and economic stability. It is preferable on these scores both to a system (like today's) where the law has forced money-users to give up gold and gold-redeemable fiduciary media in favor of fiat money, and to a system (like those proposed by 100-percent-reserve advocates) where the law restricts money-users from holding any or some types of fiduciary media.


Gold Public Finance Economic Stability Fiduciary Medium Fiat Money 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.


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Copyright information

© The Ludwig von Mises Institute 1996

Authors and Affiliations

  • George Selgin
    • 1
  • Lawrence H. White
    • 1
  1. 1.the University of GeorgiaUSA

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