Quote from: myrkul on May 08, 2013, 01:57:42 PM

Quote from: johnyj on May 08, 2013, 01:48:55 PM

Anyway the difference is, if I just consume it, it will not create any further economy activity, if I spend the money to exchange for it, the money I spent will cause a chain of economy activities. So the economy activities are caused by currency but ends at consumption of the goods/services

You get the "missing the point" award.

Unless you do all the work yourself every act of consumption drives the economy. There is no functional difference between a $10 lunch you made at home, and a $10 lunch you bought at a restaurant. Both created $10 of economic activity.

To illustrate the difference more clearly:

I still use $10 worth of goods to exchange for a lunch, but this time I use one basket of apple grown from my tree. The restaurant owner need to buy some apples for his children, so he exchanged the lunch for my basket of apples and gave these apples to his children

In this case, there is no money involved, the consumption ends when I ate the lunch and his children ate the apples, nothing left, no futher economy activities

But, if I first sell my apples to the market and make $10 cash, and then spend the cash to buy the lunch, this cash will be spent again by the restaurant owner to buy apples from the market and my apples still would be consumed by him, but some one in this chain of activities (for example the apple retailer) could make some money too, so at least we could say that the introduce of currency will cause more economy activities