632 B
632 B
Proportion Between Metals
Definition
The official or market-determined ratio at which different precious metals exchange for each other, which Smith discusses as a key factor in determining the relative value of different forms of money.
Source Chapter
Book I, Chapter 5
Context
Smith examines how the proportion between gold and silver affects their use as money and how official regulations attempt to establish stable ratios between different metals.
Economic Domain
Regulation