2021
DOI: 10.2139/ssrn.3834404
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Reconstruction of the Spanish Money Supply, 1492-1810

Abstract: How did the Spanish money supply evolve in the aftermath of the discovery of large amounts of precious metals in Spanish America? We synthesize the available data on the mining of precious metals and their international flow to estimate the money supply for Spain from 1492 to 1810. Our estimate suggests that the Spanish money supply increased more than ten-fold. Viewed through the equation of exchange this money supply increase can account for most of the price level rise in early modern Spain.

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“…Use of Commodity Money: Ward et al (2021) focused on reconstructing the Spanish money supply from 1492 to 1810 in their study. The research examined the historical use of commodity money, such as gold and silver, and its significance in facilitating economic transactions and shaping monetary systems.…”
Section: Origins Of Banking: Barter System To Formalized Banking Inst...mentioning
confidence: 99%
“…Use of Commodity Money: Ward et al (2021) focused on reconstructing the Spanish money supply from 1492 to 1810 in their study. The research examined the historical use of commodity money, such as gold and silver, and its significance in facilitating economic transactions and shaping monetary systems.…”
Section: Origins Of Banking: Barter System To Formalized Banking Inst...mentioning
confidence: 99%