Examining the value of money in england over the long term (1259-2009)

Abdullah, Adam (2013) Examining the value of money in england over the long term (1259-2009). International Journal of Economics and Finance, 5 (3). pp. 73-89. ISSN 1916-971X

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Abstract

This paper seeks to analyze the value and purchasing power of money in England over 750 years, during which time the pound has lost almost all of its value. This paper proposes a suitable methodology of measuring nominal inflation in England over the long term, by constructing a wholesale commodity price index in order to determine the purchasing power of money, being the inverse of prices. The index adjusts indices of the value of gold and silver, to determine the purchasing power of gold, silver, and also real prices, thereby providing a suitable technique to measure the store of value function of money. In so doing, we discover that a monetary theory of value accurately interprets the empirical evidence.

Item Type:	Article (Journal)
Additional Information:	7452/44656
Uncontrolled Keywords:	gold, silver and price indices, value and purchasing power of money
Subjects:	H Social Sciences > HB Economic Theory
Kulliyyahs/Centres/Divisions/Institutes (Can select more than one option. Press CONTROL button):	Institute of Islamic Banking & Finance (IIiBF)
Depositing User:	Dr Adam Abdullah
Date Deposited:	14 Sep 2015 09:43
Last Modified:	14 Sep 2015 09:43
URI:	http://irep.iium.edu.my/id/eprint/44656

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