The New Palgrave Dictionary of Economics

2018 Edition
| Editors: Macmillan Publishers Ltd

Commodity Reserve Currency

  • Albert Gailord Hart
Reference work entry
DOI: https://doi.org/10.1057/978-1-349-95189-5_515

Abstract

Commodity Reserve Currency (CRC for short) is a proposal for re-establishing an international monetary ‘standard’ – basing it upon a ‘basket’ of widely used commodities. Recent experience shows the inconvenience of lacking a standard. While restoration of a gold standard has many supporters, gold has become so remote from the goods-and-services economy that for decades now governments have had scope to play tricks with its price; and since the early 1970s, the value of gold has been highly unstable. Can there be a commodity standard other than gold, less abstract and linked to articles of everyday use? A good way to study this question is to examine the feasibility and desirability of CRC.

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Copyright information

© Macmillan Publishers Ltd. 2018

Authors and Affiliations

  • Albert Gailord Hart
    • 1
  1. 1.