An Advantage of Commodity Money Is That Prices Automatically Adjust

question 62

Essay

An advantage of commodity money is that prices automatically adjust with the supply of money. If this is true, why would economists also say the supply of money should be inelastic?

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Definitions:

Scientific Management

A management theory that applies scientific methods and principles to the administration of businesses or organizations to increase efficiency.

Frederick Taylor

Pioneer of scientific management theory, which emphasizes efficiency and productivity through the analysis and organization of work flows.

Standardization

The process of developing and implementing technical standards to make a process or product more consistent and efficient.

Task Study

The examination and analysis of how tasks are accomplished within an organization, often aiming to enhance efficiency and productivity.