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nydus/A History of Greek Economic ThoughtPublic
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Table of Contents

Chapter IV Xenophon

# MONEY

In his treatise on the Revenues of Athens, Xenophon shows some appreciation of the theory of money. He appears to take for granted that money must have intrinsic value. At least, he understands that silver is a commodity whose value is affected by its use as such, as well as by its employment for currency.448 He also apprehends the value of a silver currency for international commerce.449

His naïvely enthusiastic argument for the indefinite increase of the stock of silver, however, is suggestive of the mercantile fallacy, which identified money with wealth.450

But perhaps he is merely using for practical purposes of argument the fact that the Athenians were accustomed to look upon silver as the metal for fixed and constant value.451

In any event, he sees that the increase of silver must be attended by a corresponding increase in business activity, if its

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