Extrinsic value

From Wikipedia, the free encyclopedia

Extrinsic value is value which arises because of an agreement: Although the intrinsic value of a €100 note is not much more than the value of any similar piece of paper with a comparable graphic on it, it has a practical value (an extrinsic value) of €100. This type of value is regularly associated with Representative money. If its issuing authority were to fail to honor the note's value, it would soon become nearly worthless.

[edit] See also

• Intrinsic value
• Value