INDEX

choice of income streams,143#.; determines choice of in-come stream, 143#.; degree ofimpatience, 120; range ofchoice of options, 170-174; dueto “average rate of growth ofanimals and plants,” 165; dur-ing decline of Rome, 376-377;examples of wide fluctuations,

44; expressed in basic stand-ard, 43; fixed for the individ-ual, 119; high on small loans,213-215; individual, adjustedto impatience and opportunity,272-275; influence on prices ofservices, 326-328; link betweenincome and capital, 13; maxi-mum present value, marginalreturn over cost, in formulas,514-515; maximum presentvalue, marginal return overcost, by geometric method,

516; may be zero or negative,40-41, 67, 183, 185-192, 282-286,

311, 415-416; measured in

goods and money, 36-44, 45-46 ;measured in two divergingstandards, 39; the most per-vasive price, 33; must clear themarket, 122, 149; not explainedas price of money, 46-47; notinvolved in enjoyment incomeor labor pain, 326-328; notreasoning in circle, 144-147;paradox of, 144-149; on per-sonal loans, accounted for, 359;premium on present over fu-ture goods, 36; the price be-tween present and futuregoods, 61; and price level, 399-451, 493-497; the price ofmoney, 13; problem of, ingeometric terms, 231-287; prob-lem merely stated not solvedby supply and demand, 46; inrelation to impatience rate,equations for, 291; relation of,

[ 559 ]

to prices, 399-451, 493-497; re-lation of, to supply and de-mand depicted, 260#.; relativeto standard of measurement,41; and saving, 286-287; onshort loans, 360-363; steadiedby stable income stream, 300;in terms of goods, 42; varieswith income, 299-301, 302-315;varies with seasonal changes inincome, 394-398.

Interest, rates of, affected byinvention, 342-347; affected byrisk, 207-227; correlated withprice changes, 429-438; dis-persed by invention, 342-347;fluctuations in, self-corrective,202-205; France, 523, 528; Ger-many , 522, 528; on gold (coin)and paper and silver bonds,401-407; Great Britain , 520,527; India, 524, 529; influencedby Federal Reserve System ,449-450; Japan, 525, 530;

money and real, normallyidentical, 43; and pricechanges, 399-451, 520-533; andprice indexes correlated, 429-438; and price level, theoreti-cal relation of, 412-414; raisedby catastrophes, 391; relationof, to bank reserves, 444-450;relation of, to business andprices, 443-444; relation of, toincome, 454; to invention, 342-347; short term, correlatedwith price changes, 423-429;United States , 521, 527; yearlyaverage, 520-525.

Interest problem, stated inmathematical formulas, 288-301, 302-315.

Interest theory, complete, in-cludes price theory and allother economic theories, 131n;must include wage theory, 331;of Walras and Pareto, con-