[OPE-L:6447] means of payment multiplier

Paul Cockshott (wpc@faraday.org)
Thu, 09 Apr 1998 16:54:13 +0100

I would like to ask the participants a question.

The volume of foreign exchange transactions per day amounts to about
70 times the daily international trade of the world.

Clearly 'money' is here acting as a means of payment rather than as
a medium of exchange.

But the scale of the multiplier between the means of payment
and the underlying exchange is so high that I suspect that there must be

some sort of exponential function determining the ratio between the two.

Do participants
1) think that I am right in assuming that the relationship must be
2) have any theory as to why it should be?