CHAPTER VI ARISTOTLE

of the development of money.⁶⁷⁴ Before its invention, all exchange was by barter.⁶⁷⁵ But with the growth of commerce, barter became difficult, and a common medium of exchange was agreed upon.⁶⁷⁶ Something was chosen that was a commodity, having intrinsic value (ὁτῶν χρησίμων αὐτὸ ὄν) and that was easy to handle (εὐμεταχείριστον) in the business of life such as iron, silver, or other metal.⁶⁷⁷ It was first uncoined, defined merely by size and weight.⁶⁷⁸ Finally, to avoid the inconvenience, it was given a stamp (χαρακτήρ) representative of the quantity (σημεῖον τοῦ πόσου).⁶⁷⁹ Thus arose the use of money as a convenience in necessary exchange, but once having arisen, it became the foundation of false finance and retail trade, which are pursued as a science of gain.⁶⁸⁰ All this accords well with the facts as now accepted, yet how utterly different is Aristotle’s standpoint from that of the modern historian of economic institutions is revealed by his last statement, and indeed by the setting of the entire passage. His history of money is merely incidental to his purpose of showing that money is the parent and the very life of the false finance which he decries.