Abstract
This article examines the special case of stone money, in Yap as a store of value, medium of exchange and unit of account, which are the three traits required for something to be considered money, in the economic sense. When confidence in a system of currency with coins is present, this more conventional form of money takes precedence. A respected economic form of currency with coins has all three elements of money: medium of exchange, store of value and unit of account. Though clearly, in a certain time period, stone money was the principle type of money. To a lesser extent, beads and shell were used as money. So, for a period of time, stone money, along with some use of beads and shells, constituted the medium of exchange. The focus of this article is on the stone money of Yap. Stone was obtained by quarrying on the island of Palau, some 500 to 600 years ago. A very interesting type of money in the past, was the stone money of Yap, more formally known as Rai, or Fei. These were doughnut-shaped, carved disks of normally calcite and, up to 4 meters (12 feet) in diameter. However, there are more smaller ones, with the smallest being as little as 3.5 centimeters (1.4 inches) in diameter. The people of Yap attributed value to the Rai. After the use of Rai faded away, German Marks and then later Japanese Yen and finally the U.S. Dollar, were the monetary standard. The prior use of Rai is the main interest of this article. Today Yap is an independent country, in a “free association” with the United States. A curriculum that somewhat resembles an American one is taught in schools on Yap. Tourism to Yap is an important activity. Currently, the U.S. dollar serves as the basis for money in the nation of Yap. It has been found that this stone money met the three criteria necessary for them to be an early type of money.
Highlights
Yap stone money is different than Native American money, in how the two types of money came about
That is a big difference between Yap stone money and Native American wampum
After there was increased contact with the outside world, the people of Yap used in succession, German money, Japanese money and a monetary standard of the United States of America, became more and more important to Yap
Summary
An answer is sought to determine if stone money served well as a form of money on Yap Island, part of the Carolina Islands group. Yap refers to the main island in a group of four islands, with Yap being the largest. The three other primary islands associated with the main island of Yap are: Gagil, Map, Rumung. Fitzpatrick (2004) states that 500 to 600 years ago, Yap islanders began the quarry process of obtaining the proper type of sone that was used as money in Yap. In an earlier article, Fitzpatrick (2001) maintains that these stone money disks became part of a “complex political economy on Yap.”. A summary and conclusion section round out this article
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Free) 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call
