Network Effects and Money

The common basis for this work is that it deals with
money as a network good, i.e. that the value of a
specific currency or payment technique is dependent
on the number of users. This book analyzes monetary
choice in the light of this network aspect from
different perspectives.
The so-called network effects, which may result from
a network good, can work as reinforcement or
as an obstacle to spontaneously or politically
controlled changes in the monetary regime. As a
result, problems associated with the adoption of a
new currency or new (electronic) payment techniques
may arise.
The book includes both theoretical discussions as
well as a discussion about Carl Menger s monetary
theory and its connection to the network effects of
money. The last chapter of the book analyzes a
specific case, namely the Euro cash changeover
process that took place in 2002.
This work should be useful for people with a general
interest in choice of monetary standards, but also
for people who specifically want to read about the
Euro Cash changeover process or Carl Menger s
monetary theory.

Autorentext
Mikael Stenkula, PhD: Studied Economics at Lund University, Sweden. Research Fellow at the Research Institute of Industrial Economics (IFN), Stockholm, Sweden.

Klappentext
The common basis for this work is that it deals with money as a network good, i.e. that the value of a specific currency or payment technique is dependent on the number of users. This book analyzes monetary choice in the light of this network aspect from different perspectives. The so-called network effects, which may result from a network good, can work as reinforcement or as an obstacle to spontaneously or politically controlled changes in the monetary regime. As a result, problems associated with the adoption of a new currency or new (electronic) payment techniques may arise. The book includes both theoretical discussions as well as a discussion about Carl Menger's monetary theory and its connection to the network effects of money. The last chapter of the book analyzes a specific case, namely the Euro cash changeover process that took place in 2002. This work should be useful for people with a general interest in choice of monetary standards, but also for people who specifically want to read about the Euro Cash changeover process or Carl Menger's monetary theory.