Cigarette Money

  title={Cigarette Money},
  author={Kenneth Burdett and Alberto Trejos and Randall Wright},
  journal={J. Econ. Theory},
We study the circumstances under which commodities emerge endogenously as media of exchange – the way cigarettes apparently did, for example, in POW camps – both when there is money available and when there is not. We characterize how specialization, the degree of trading frictions, intrinsic properties of commodities, and the amount of money available determine whether a commodity serves as money and its exchange value. In some equilibria, the exchange value of commodity money is… 
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The Model of
The journal publishes original research breakthroughs and guided publication policies to optimize the impact, dissemination, visibility and range of the publications to the global research community.
The Economic Organization of a P.O.W
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The Economic Organisation of a P.O.W. Camp
AFTER allowance has been made for abnormal circumstances, the social institutions, ideas and habits of groups in the outside world are to be found reflected in a Prisoner of War Camp. It is an
The Economic Organization of a P
  • Economica
  • 1945
Monies in Societies