The first class consists of the things which man directly consumes or uses up in living. These are called “consumer goods” or perishable goods used and consumed in actually sustaining life; e. g. food, clothing, fuel, etc. The second class consists of capital or producer goods; e.g. a factory, freight car, or machine is wealth [...]
Money is anything commonly used and accepted as a medium of exchange. Money is the evidence that the possessor has parted with commodities or services and has not yet received its equivalent. Therefore, in the final analysis, money may be any object (paper, metal, beads) used as the receipt or acknowledgment of delivery of goods [...]
They must be replaced by constructing new producer goods out of available consumer goods. The consumer goods do not become producer goods until they are fabricated into permanent form; e.g. iron ore into a machine, sand into a concrete building.
To make easy the exchange of goods and services, so that when one parts with anything having exchange value without needing anything in return immediately, he can keep the money until he does. It is an evidence that he has contributed some goods or services which society wants, and is a demand on that society [...]
