Economics 006E
The Root of All Evil? Money as a Cultural, Economic and Social Institution
This Page Last Edited on November 17, 2004
Readings and Discussion Questions with a Class Number Designation Are Current for 2004.
Other materials require revision.

Class Meetings:        Tuesday and Thursday, 8:00--9:15, Gardner 209
Instructor:                  Michael K. Salemi
Instructor's Office:    301 Gardner Hall
Office Hours:             M & W 3:00-4:00, Tu 2:00-3:00, and by appointment
Instructor's Phone:    966-5391 (office), 929-9504 (home)
Instructor's Email:

The course Fact Sheet and Syllabus  provides the goals and rules of the course, important dates, topics, and information about the course paper. The course Calendar provides a class-by-class list of topics and assignments.  The course Contract governs class discussion.

Course Paper
A description of the course paper and the rules for preparing it are included on the course Fact Sheet
List of Suggested Course Topics.  Papers will be graded using the criteria in this template.

Course Reading
Chapter 1-4, Wealth of Nations, by Adam Smith (Class 2)
"The Economic Organization of a P.O.W. Camp" by R. A. Radford (Class 3)
"Commodity Money and Government Money" by Gary Smith (Class 4)
"Anchors Aweigh" by Angela Redish (Class 5)
"The Supply of Money" by Paul Heyne (Class 7)
"An Overview of the Financial System" by Fredric Mishkin (Class 8)
"Banks of the World" by Roger Orsingher (Class 9)
"The Dawn of Medieval Banking" by Robert Lopez (Class 10)
"Introduction to Interest Rates" by The Federal Reserve Bank of New York (Class 12)
Chapter 5-7, Wealth of Nations, by Adam Smith (Class 13)
Chapter 1,    The Theory of Interest by Irving Fisher (Optional)
Chapter 2-3, The Theory of Interest by Irving Fisher (Class 14)
Chapter 4-5, The Theory of Interest by Irving Fisher (Class 15)
Chapter 4 of Banks and Politics in America by Bray Hammond (Classes 18-19)
"The Crime of 1873" by Milton Friedman (Class 20)
"Money and Language"
by Robert Leonard (Class 22)
"The Wizard of Oz as a Monetary Allegory" by Hugh Rockoff (Class 23)
Responses to Federal Reserve Policy, Chapter 8 of U.S. Monetary Policy and Financial Markets
    by Ann-Marie Meulendyke (Class 25-6)
"Global Financial Instability: Framework, Events, Issues" by Frederic Mishkin (Class 27)

Student Papers (Class 28)
    "The Misty Origins of Money," by Meghan Jones
    "The Costs and Benefits of the Euro," by Daniel Portone
    "If Money Doesn't Grow on Trees, The How Can Local Communities Create Their Own Currencies," by Lotte Tulloch

Class Exercises

1. Exercise 1 on Commodity Money (September 9, 2004)
2. Exercise 2--Money and Banking Puzzles (September 28, 2004)
3. Exercise 3--The Real Rate of Interest (October 19, 2004)
4. The Langauge of Money Exercise  (November 9)
5. Exercise 4--Money as Art (November 16)
6. Exercise 5--Discussion of Student Papers (December 2)

Clusters of Discussion Questions
1.  Chapters 1-4, Wealth of Nations by Adam Smith (Class 2)
2.  The Economic Organization of a P.O.W. Camp, by R. A. Radford (Class 3)
3.  Selections from Primitive Money by Paul Einzig
4.  Anchors aweigh: the transition from commodity money to fiat money in western economies,   by Angela Redish (Class 5)
5.  Historical Survey of Banking Operations  by Roger Orsingher (Class 9)
6.  The Dawn of Medieval Banking by Robert S. Lopez (Class 10)
7.  Chapters 5-7, Wealth of Nations by Adam Smith (Class 13)
8.  Chapters 2-5, Theory of Interest by Iriving Fisher (Classes 14-15)
9.  Bray Hammond (Classes 18-19)
10. The Crime of 1873 by Milton Friedman (Class 20)
11. Maestro by Bob Woodward (Class 21)
12. The "Wizard of Oz" as a Monetary Allegory by Hugh Rockoff (Class 23)
13. Responses to Federal Reserve Policy, Chapter 8 of U.S. Monetary Policy and Financial Markets
        by Ann Marie Meulendyke (Class 26)
14. The Monetary Transmission Mechanism: An Empirical Framework by John Taylor
15. Global Financial Instability: Framework, Events, Issues by Frederic Mishkin (Class 27)

Notes Prepared by Michael Salemi
Introduction to Irving Fisher
Introduction to Monetary Policy
Introduction to International Financial Institutions