The New Palgrave Dictionary of Economics

2018 Edition
| Editors: Macmillan Publishers Ltd

Commodity Reserve Currency

  • Albert Gailord Hart
Reference work entry


Commodity Reserve Currency (CRC for short) is a proposal for re-establishing an international monetary ‘standard’ – basing it upon a ‘basket’ of widely used commodities. Recent experience shows the inconvenience of lacking a standard. While restoration of a gold standard has many supporters, gold has become so remote from the goods-and-services economy that for decades now governments have had scope to play tricks with its price; and since the early 1970s, the value of gold has been highly unstable. Can there be a commodity standard other than gold, less abstract and linked to articles of everyday use? A good way to study this question is to examine the feasibility and desirability of CRC.

This is a preview of subscription content, log in to check access.


  1. Bennett, M.K., et al. 1949. International commodity stockpiling as an economic stabilizer. Stanford: Stanford University Press.Google Scholar
  2. Goudriaan, J. 1932. How to stop deflation. London: The Search Publishing Company.Google Scholar
  3. Grubel, H.G. 1965. The case against international commodity reserve currency. Oxford Economic Papers 17(1): 130–135.CrossRefGoogle Scholar
  4. Hallwood, P. 1986. External economy arguments for commodity stockpiling: A review. Bulletin of Economic Research 38(1): 25–41.CrossRefGoogle Scholar
  5. Harmon, E. 1959. Commodity reserve currency. New York: Columbia University Press.Google Scholar
  6. Hart, A.G., N. Kaldor, and J. Tinbergen. 1964. The case for an international Commodity Reserve Currency. Geneva: United Nations Conference on Trade and Development. 17 February 1964. E/CONF.46/p/7. Conveniently accessible in N. Kaldor, Essays on economic policy–II. London: Gerald Duckworth & Co., 1964.Google Scholar
  7. Hayek, F.A. 1984. The future monetary unit of value. In Money in crisis, ed. N. Barry. Siegel: Pacific Institute for Policy Research.Google Scholar
  8. Newbery, D.M.G., and J.E. Stiglitz. 1981. The theory of commodity price stabilization. Oxford: Clarendon.Google Scholar

Copyright information

© Macmillan Publishers Ltd. 2018

Authors and Affiliations

  • Albert Gailord Hart
    • 1
  1. 1.