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PATINKIN‐KONTROVERSE‐BEITRAG NR. X 1
Author(s) -
HelmstÄdter Ernst
Publication year - 1969
Publication title -
kyklos
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.766
H-Index - 58
eISSN - 1467-6435
pISSN - 0023-5962
DOI - 10.1111/j.1467-6435.1969.tb00916.x
Subject(s) - economics , commodity , stock (firearms) , moneyness , money supply , stock market , stock exchange , commodity market , money market , monetary economics , market economy , monetary policy , finance , mechanical engineering , paleontology , horse , engineering , biology
SUMMARY In Patinkinia the money market is characterized by a shifting of the stock of money as a commodity market is by the shifting of the stock of commodities. By Patinkin's law it is clarified that in an exchange economy with one general indefinitely durable good (money), absolute prices can be logically determined in two ways: 1. by the quantity equation, if there is no shifting of the stock of money and 2. by direct determination, if there is a shifting of the stock of money. As expected Patinkin's law does not state anything new. It only tries to get straight the former confused application of the laws of W alras and S ay by simultaneous implementation of the laws of supply and demand at the markets of Patinkinia.