Source: EconLog
by Christine Brady
“Menger’s ‘saleableness’ is a lot like our term ‘liquidity.’ A more saleable good can be more easily sold at any time without having to lower the price. A house, for example, is not very saleable, because it might take months to find a good buyer, as contrasted with Girl Scout cookies, which have much broader appeal—even children can sell them. Because it’s hard to find someone willing to make a direct exchange for exactly what you want, Menger argued that people traded for more saleable items, which they would then use for exchanges. Over time, the most saleable commodities became the naturally emergent money. If people tend to trade for more saleable goods, why would they ever buy a gift card?” (04/28/26)