Can anyone help me to give some points on here? The news blurb below describes a

Question

Can anyone help me to give some points on here?

The news blurb below describes a marketing ploy in which a man tries to use bacon as money. Discuss whether you think bacon qualifies as money, under the three-part definition used in this class. Compare and contrast it to the giant stone money of Yap, the gold standard, and the dollar. What would you expect the interest rate to be on a bacon-based currency (you do not need to give a specific number, just describe whether it would be high or low)? MADISON. Wis., Sept. 10, 2012 /PRNewswire/ - Determined to prove Oscar Mayer Butcher Thick Cut Bacon is the gold standard, the company has challenged actor, writer and comedian Josh Sankey to barter his way across the country using nothing but bacon as currency to obtain gas, lodging, food and everything else he'll need along the way. The Great American Bacon Barter kicks-off on September 9, when Sankey will attempt to barter his way from New York City to Los Angeles over a two-week period with nothing but a trailer full of 3,000 pounds of Oscar Mayer Butcher Thick Cut bacon. Sankey will have no cash or credit cards, just the delicious bacon, which is hand-trimmed and smoked with natural hardwood for up to 14 hours. Sankey will be accompanied by a cameraman who will capture every moment of the Great American Bacon Barter. Bacon-lovers and anyone interested in Josh's adventure can view content on BaconBarter.com. Additionally, bacon lovers can interact with Sankey along the way. sharing what they would be willing to barter and where by tweeting @BaconBarter or at BaconBarter.com - ultimately giving the fans the power to impact Sankey's stops throughout his road trip. "We know Americans love bacon and we're about to find out just how much through this one-of-a-kind mission," said Tom Bick, director of Integrated Marketing Communications & Advertising, Oscar Mayer. "We believe Americans will rally around Josh and help him get from New York to LA by bartering for our Oscar Mayer Butcher Thick Cut bacon."

Explanation / Answer

Bacon does not qualify as money because money is anything which is a generally accepted medium of exchange, a legal tender of repayment and a standard of value.

Bacon as a medium of exchange has an advantage over giant stone money since it occupies less space. It will need not be transferred on shiploads unlike stone money of Yap, even then it cannot be served as a medium of exchange any better than the dollar. The Gold standard though used for Investment purposes widely is marginally better than Bacon as a unit of measure as it provides a long term price stability.

The Interest Rate will not be certain (though will be towards the lower end) as it is not a proper source of value, hence it will be difficult to identify and ascertain interest rate.

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