Finance

Credit Theory of Money

Credit Theory of Money

Credit theories of money are concerned with the relationship between credit in addition to money. Proponents of the theories, such as Alfred Mitchell-Innes, sometimes emphasize in which money and credit/debt are the same principle, seen from various points of see. Proponents assert which the essential nature connected with money is credit rating (debt), at least throughout eras where money is not backed by a commodity for example gold.