money of necessity: meaning, definition, pronunciation and examples
Very low / SpecializedAcademic / Historical
Quick answer
What does “money of necessity” mean?
Currency or other forms of payment issued during an emergency, typically by a non-governmental or provisional authority, to address a shortage of official coinage or currency.
Audio
Pronunciation
Definition
Meaning and Definition
Currency or other forms of payment issued during an emergency, typically by a non-governmental or provisional authority, to address a shortage of official coinage or currency.
A historical financial concept referring to ad-hoc monetary instruments (like tokens, paper, or siege notes) created out of urgent need, often during wars, blockades, or economic crises, when standard government-issued money is unavailable or insufficient. Its value is based on local trust and immediate circumstance, not necessarily on intrinsic value or full government backing.
Dialectal Variation
British vs American Usage
Differences
No significant difference in meaning. The term is used primarily in historical and economic texts in both varieties. British texts might reference more examples from colonial or Commonwealth history, while American texts may focus on Civil War tokens or Depression-era scrip.
Connotations
Connotes improvisation, crisis, and a temporary solution. In academic discourse, it is a neutral, descriptive term.
Frequency
Extremely rare in everyday language. Found almost exclusively in specialized literature on economic history, numismatics, or military history.
Grammar
How to Use “money of necessity” in a Sentence
[Issuing Authority] issued [Object] as money of necessity during [Crisis].[Object] functioned/circulated as money of necessity.Vocabulary
Collocations
Usage
Meaning in Context
Business
Virtually never used in modern business contexts. Mentioned historically in discussions of corporate scrip in company towns.
Academic
Used in economic history, monetary theory, and numismatics to classify and discuss non-standard currencies issued under duress.
Everyday
Extremely uncommon. A person might encounter it in a museum, history book, or documentary.
Technical
A precise classificatory term in numismatics (coin/currency collection and study) for a specific category of exonumia.
Vocabulary
Synonyms of “money of necessity”
Strong
Neutral
Weak
Vocabulary
Antonyms of “money of necessity”
Watch out
Common Mistakes When Using “money of necessity”
- Using it to refer to modern cryptocurrencies or informal barter (unless in a direct historical analogy).
- Confusing it with 'blood money' or 'hush money', which are idioms with different meanings.
- Treating it as a common synonym for 'cash' or 'loose change'.
FAQ
Frequently Asked Questions
No. While both can arise outside traditional banking systems, 'money of necessity' is a physical, crisis-driven solution with localized value. Cryptocurrency is a digital, technology-driven asset with (theoretical) global reach, not necessarily created from emergency.
Typically no. Modern local currencies are usually planned, promotional tools for community economics, not emergency responses to a critical shortage of national currency.
Notable examples include siege notes from Paris (1870) or Sarajevo (1990s), Notgeld (German emergency money) after WWI, and Civil War tokens in the United States.
Rarely. It is usually accepted only by specific consent within a limited community or timeframe. It often lacks the full, nationwide legal tender status of official government currency.
Currency or other forms of payment issued during an emergency, typically by a non-governmental or provisional authority, to address a shortage of official coinage or currency.
Money of necessity is usually academic / historical in register.
Money of necessity: in British English it is pronounced /ˈmʌni əv nɪˈsɛsəti/, and in American English it is pronounced /ˈmʌni əv nəˈsɛsəti/. Tap the audio buttons above to hear it.
Phrases
Idioms & Phrases
- “[None directly associated with this specific phrase]”
Learning
Memory Aids
Mnemonic
Imagine a NEST (sounds like 'necessity') full of emergency MONEY, but the nest is only a temporary, makeshift home for it.
Conceptual Metaphor
MONEY IS A TOOL (for survival in a crisis). NECESSITY IS THE MOTHER OF INVENTION (of currency).
Practice
Quiz
What is the primary characteristic of 'money of necessity'?