----------------- HES POSTING ----------------- Barkley Rosser writes: >>Greg Ransom quotes Hayek as saying that money only serves as an intermediary between the exchange of goods, thus of the essentially barter nature of exchange. This is contradicted by Say's recognition of the possibility of "unproductive capital" associated with hoarding.<< Let me suggest that Barkley is interpreting Hayek grossly out of context. Hayek is talking about a logical construction here, not the real world. Hayek has a sophisticated explanation of 'unproductive capital' of his own -- indeed, this element is essential to his trade cycle and monetary economics. Greg Ransom ------------ FOOTER TO HES POSTING ------------ For information, send the message "info HES" to [log in to unmask]