Scarcely less important are the physical characteristics which a good money should possess. Five such characteristics may properly be examined at this point: (1) durability, (2) portability, (3) homogeneity, (4) divisibility, and (5) cognizability.

Any commodity that is to serve well as money should possess durability to a high degree. Otherwise it would wear quickly in its passage from hand to hand, and even deteriorate while in the possession of its owner. Consequently, perishable goodsj such as cattle, furs, tobacco, and even wheat and corn, have never proved satisfactory as mediums of exchange. Clearly, durability is a great aid to stability of value, since the new supply of a durable commodity for a reasonably short period of time is likely to be small compared to the entire stock of that commodity already in the possession of society. If wheat, for example, were used as a medium of exchange, it is obvious that its value would fall greatly with the harvesting of each new crop and rise as each crop was gradually consumed.

The second physical characteristic of a good money is portability. The commodity that serves as money must be moved from point to point, among the members of the society that uses it. Otherwise it is not money. This movement involves labor and expense. Hence, the commodity that combines greatest value in the smallest bulk, if we consider portability alone, is the most desirable as a medium of exchange.

A good money must also be homogeneous - that is, the commodity from which it is made must be of the same quality wherever it is found. Obviously, cattle possess this characteristic to a very low degree, for scarcely any two of them are alike. Divisibility, which is closely related to homogeneity, simply means the capability of a commodity to be divided without destroying its value. Here again, cattle do not possess this characteristic. Neither do furs or diamonds. Either loses value by being divided. The total value of the parts of a split diamond never equals the value of the original stone.

Any commodity that is to pass current as money must be capable of being easily recognized. Otherwise it could be counterfeited, which fact in itself would tend to destroy its value as a money by destroying its acceptability.