Purchasing power
Purchasing power is an economic concept which is commonly used to expresses the quantity of goods a certain number of monetary units can obtain in an exchange. Alternatively, the purchasing power of a good can be seen as equal to the money it can buy on the market, or in other words its market money price.[1] While the purchasing power of money or the monetary unit "consists of an array of all the particular goods prices in the society in terms of the unit".[1]
References
- ↑ 1.0 1.1 Rothbard, Murray. "Man, Economy and State", 2004, page 205.