31 lines
1 KiB
Markdown
31 lines
1 KiB
Markdown
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---
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entity_slug: circulating_money
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entity_type: Element
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vsm_system: S2
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type_rationale: Circulating money is a stock of currency that persists as a tangible
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component of the nation's money supply, existing independently as a measurable quantity
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of capital.
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vsm_rationale: Circulating money functions as the primary coordination mechanism that
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facilitates price signals and market transactions, serving as the medium through
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which anti-oscillatory market forces operate to balance supply and demand.
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classified_at: '2026-02-23T10:49:52.502182'
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---
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# Classification: Circulating Money
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## Entity Type
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Element
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## VSM System
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S2
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## Type Rationale
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Circulating money is a stock of currency that persists as a tangible component of the nation's money supply, existing independently as a measurable quantity of capital.
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## VSM Rationale
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Circulating money functions as the primary coordination mechanism that facilitates price signals and market transactions, serving as the medium through which anti-oscillatory market forces operate to balance supply and demand.
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