What does money actually do? Economists usually subdivide its functions into three categories: A medium of exchange, a store of value, and a unit of value. Created by Grant Sanderson. View more lessons or practice this subject at http://www.khanacademy.org/economics-finance-domain/ap-macroeconomics/ap-financial-sector/definition-measurement-and-functions-of-money-ap/v/functions-of-money?utm_source=youtube&utm_medium=desc&utm_campaign=apmacroeconomics AP Macroeconomics on Khan Academy: Welcome to Economics! In this lesson we'll define Economic and introduce some of the fundamental tools and perspectives economists use to understand the world around us! Khan Academy is a nonprofit organization with the mission of providing a free, world-class education for anyone, anywhere. We offer quizzes, questions, instructional videos, and articles on a range of academic subjects, including math, biology, chemistry, physics, history, economics, finance, grammar, preschool learning, and more. We provide teachers with tools and data so they can help their students develop the skills, habits, and mindsets for success in school and beyond. Khan Academy has been translated into dozens of languages, and 15 million people around the globe learn on Khan Academy every month. As a 501(c)(3) nonprofit organization, we would love your help! Donate or volunteer today! Donate here: https://www.khanacademy.org/donate?utm_source=youtube&utm_medium=desc Volunteer here: https://www.khanacademy.org/contribute?utm_source=youtube&utm_medium=desc
Views: 49267 Khan Academy
This video describes, using a simple example, why it is incorrect to think of money as a store of value. Instead, it is more fitting to think of money as a symbol of value, or a symbolic representation of stored value. Value is in fact stored in the useful resources, goods and services of a society. This distinction is important because storing money is not at all equivalent to storing useful resources. Stored resources increase supply and reduce demand because the actual amount of useful stuff is increased. Stored money simply determines who gets access to existing resources. This distinction is very important, because it doesn't matter how much money exists if the stores of useful resources are destroyed.
Views: 98 The Value of Truth
In this video tutorial you will learn the functions of money. There are five basic functions of money. These functions include money as medium of exchange, unit of account (measure of value), money as store of value, money as transfer of value and money as standard of deferred of payments. For more tutorials subscribe to economics guider.
Views: 2958 Economics Guider
Finding the right store of value will be an investment challenge in the second quarter 2019. We believe that gold is one such store of value and that it deserves closer attention. Read the article: https://www.juliusbaer.com/insights/en/finance-talk/gold-recovery-is-on-track/ Find out more about Julius Baer: - Corporate Website: https://www.juliusbaer.com/global/en/home/ - YouTube: https://www.youtube.com/user/BankJuliusBaer - LinkedIn: https://www.linkedin.com/company/julius-baer/ - Twitter: https://twitter.com/juliusbaer - Facebook: https://www.facebook.com/bankjuliusbaer/ - Instagram: https://www.instagram.com/bankjuliusbaer/
Views: 5311 Julius Baer
STORAGE OF VALUE Classical economists recognised only the primary functions of money. J. M. Keynes recognised and laid stress on store of value function of money. People know that future is uncertain. People keep a part of their present income to meet unforeseen future. It is widely recognised that it is convenient to store money than to store goods and commodities. Storage of goods not only involves certain amount of costs but also involves loss of value. Further, perishable goods cannot be stored for a long period of time. There is also the danger of theft and fire. With the introduction of money, all such difficulties were removed. There are some advantages to store in the form of money for future. The advantages are: 1. Now-a-days, we use paper money. Paper money does not require much space to be stored; 2. By storing in the form of money, people can take advantage of the changes in the rate of interest; 3. Money as a store preserves value through time and space; 4. When we store in the form of money, we shift the purchasing power from the present to the future. So money acts as a link between the present and the future; 5. Money is an asset or form of wealth, and 6. Money is the most liquid of all assets. It means, money can be readily exchanged for goods and services without any difficulty. So, money acts as a good store of value. TRANSFER OF VALUE 1. Money has general acceptability as a means of exchange. So it is easier to transfer money from one place to another. 2. At present, money is stored in the form of bank deposits. Depositor can transfer the amount of money deposited in his bank account to the account of another man. It means, it is easier to transfer value in the form of money. 3. Money is a means through which transfer of value from one place to another has been easier and quicker. So transfer of value in the form of money through space continues to be important. For example, a businessman of Orissa who sells his property and goes to Delhi and settles down there is a case of transfer of value through space. 4. Money is portable. It can be easily taken from one place to another place without any difficulty. On the other hand, it is difficult and costly too to carry goods and commodities from one place to another.
Views: 464 aucommerce Scholar
So, we've been putting off a kind of basic question here. What is money? What is currency? How are the two different. Well, not to give away too much, but money has a few basic functions. It acts as a store of value, a medium of exchange, and as a unit of account. Money isn't just bills and coins. It can be anything that meets these three criteria. In US prisons, apparently, pouches of Mackerel are currency. Yes, mackerel the fish. Paper and coins work as money because they're backed by the government, which is an advantage over mackerel. So, once you've got money, you need finance. We'll talk about borrowing, lending, interest, and stocks and bonds. Also, this episode features a giant zucchini, which Adriene grew in her garden. So that's cool. Special thanks to Dave Hunt for permission to use his PiPhone video. this guy really did make an artisanal smartphone! https://www.youtube.com/watch?v=8eaiNsFhtI8 Crash Course is on Patreon! You can support us directly by signing up at http://www.patreon.com/crashcourse Thanks to the following Patrons for their generous monthly contributions that help keep Crash Course free for everyone forever: Fatima Iqbal, Penelope Flagg, Eugenia Karlson, Alex S, Jirat, Tim Curwick, Christy Huddleston, Eric Kitchen, Moritz Schmidt, Today I Found Out, Avi Yashchin, Chris Peters, Eric Knight, Jacob Ash, Simun Niclasen, Jan Schmid, Elliot Beter, Sandra Aft, SR Foxley, Ian Dundore, Daniel Baulig, Jason A Saslow, Robert Kunz, Jessica Wode, Steve Marshall, Anna-Ester Volozh, Christian, Caleb Weeks, Jeffrey Thompson, James Craver, and Markus Persson -- Want to find Crash Course elsewhere on the internet? Facebook - http://www.facebook.com/YouTubeCrashCourse Twitter - http://www.twitter.com/TheCrashCourse Tumblr - http://thecrashcourse.tumblr.com Support Crash Course on Patreon: http://patreon.com/crashcourse CC Kids: http://www.youtube.com/crashcoursekids
Views: 754006 CrashCourse
Mr. Clifford's app is now available at the App Store and Google play. His mobile app is perfect for students in AP macroeconomics or college introductory macro courses. It is designed to help you ace the exam, final, or AP test. The app includes over 60 new economics videos that are not available on YouTube. These videos explain complex concepts in a student-friendly, easy to understand manor that will help you retain the information. Join the hundreds of thousands of students that have used Mr. Clifford's videos and resources to ace your macroeconomics course.
Views: 153859 Jacob Clifford
Definitions. Characteristics. Examples. Money. Origin of money. Importance of money. Functions of money. Forms of money - banknotes, deposits, gold. Money substitutes. Money creation. Money supply. Inflation. Barter. Disadvantages of barter. Divisibility. Marketability. Medium of Exchange. Indirect exchange. Direct exchange. Store of value. Unit of account. Depreciation. Devaluation. Value. Price. Commodity money. Paper money. Banknotes.
Views: 7122 Krassimir Petrov
Money is any item or verifiable record that is generally accepted as payment for goods and services and repayment of debts in a particular country or socio-economic context, or is easily converted to such a form. The main functions of money are distinguished as: a medium of exchange; a unit of account; a store of value; and, sometimes, a standard of deferred payment. Any item or verifiable record that fulfills these functions can be considered money. Money is historically an emergent market phenomenon establishing a commodity money, but nearly all contemporary money systems are based on fiat money. Fiat money, like any check or note of debt, is without use value as a physical commodity. It derives its value by being declared by a government to be legal tender; that is, it must be accepted as a form of payment within the boundaries of the country, for "all debts, public and private". Such laws in practice cause fiat money to acquire the value of any of the goods and services that it may be traded for within the nation that issues it. Money is an essential human creation, and, were all money to disappear, a new form of money would spontaneously arise in its place, such as cows, tobacco, bread, a certain type of nut husk, perhaps, or even nautilus shells. Today there are other forms of money such as airline miles and bitcoins. Each of which are ways for people to accumulate, store and then spend other intangible things that behave exactly the same as paper Dollars, or Euros, Yen, or Rubles, or Yuan. Without money, the complex job specializations that we have today would not exist, because barter is so cumbersome and constraining. More importantly, though, is the concept that each type of money system has its pros and cons – each will enforce its own peculiar outcomes by promoting some behaviors while punishing others. Now, if we crack open a textbook, we’ll find that money should possess three characteristics. The first is that it should be a store of value. Gold and silver filled this role perfectly, because they were rare, took a lot of human energy to mine, and did not corrode or rust. By contrast, the US dollar pretty much constantly loses value over time – a feature which punishes savers and enforces the need to speculate and/or invest. A second feature is that money needs to be accepted as a medium of exchange, meaning that it is widely accepted within a population as an intermediary, within and across all economic transactions. And the third feature is that money needs to be a unit of account, meaning that the money must be divisible and each unit must be equivalent. The US “unit of account” is the dollar. And each is identical to any other. Diamonds have much value, but are not good at being ‘money,’ because they are not perfectly equivalent to each other and dividing them causes them to lose value. That is, they fail at being a unit of account. So what is money, really? I believe in a very simple definition. Money is a claim on human labor. With a very few minor exceptions, pretty much anything you can think of that you might spend your money on will involve human labor to bring it there. I say it’s a claim rather than a store, because the human labor in question might have happened in the past, or it might not have happened yet. As implied in the picture series earlier, literally anything can be considered money – cows, bread, shells, tobacco. A US dollar, like all modern currencies, however, is an example of a type of money called fiat money. “Fiat” is a Latin word meaning “let it be done,” and fiat money has value because a government decrees that it does. And this brings us to the key question: What exactly is a US dollar? Once, a dollar was backed by a known weight of silver or gold of intrinsic value. In this example, we can see that the dollar came from the US Treasury directly and was backed by a given amount of silver that was payable to the bearer on demand. You’ll note that modern dollars have no language entitling the bearer to anything, and that’s because they are no longer backed by anything tangible. Rather, the ‘value’ of the dollar comes from this language right here: The fact that it is illegal to refuse to accept dollars for payment and that they are the only acceptable form of payment for taxes. It is crucially important that a nation’s money supply is carefully managed, for if it is not, the monetary unit can be destroyed by inflation. In fact, there are over 3,800 past examples of paper currencies that no longer exist. There are numerous examples from the United States, which may have some collector value, such as the Greenback, but no longer possess any monetary value. Of course, I could just as easily display beautiful but no longer functional examples from Argentina, Bolivia, and Columbia, and a hundred other places
Views: 138 MASTERCODEAV
This video explains functions of money . It tells Primary Functions of Money(Medium of Exchange & Measure of Value)Store of Value, . It also explains Secondary Functions of Money(Store of Value, Standard of Deferred Payments & transfer of Value). Students can understand Functions of Money in simple language with the help of this video. It covers Definition of Money. It also covers Static Function & Dynamic Function of Money. #DefinitionOfMoney #FunctionsOfMoney #Static&DynamicFunctionsOfMoney V-86 Evolution of Money || Forms of Money https://youtu.be/UbTwN9L-OfE V-85 Barter System || Limitations of Barter System https://youtu.be/gMRoIREZSig V-84 Measures to correct Deficient Demand https://youtu.be/vVrbyfpZ1F4 V-83 Deficient Demand || Impact of Deficient Demand || Causes of Deficient Demand https://youtu.be/oTJbM2Qo-VM V-82 Measures to Correct Excess Demand https://youtu.be/InmaxzyqK44 V-81 Excess Demand || Impact of Excess Demand || Causes of Excess Demand https://youtu.be/nV03pvqmjF0 V-80 Numericals of Investmemt Multiplier https://youtu.be/qDc-IHziccg V-79 Investment Multiplier || Mechanism of Multiplier https://youtu.be/yJk0CDh0gT0 V-78 Full Employment || Frictional Unemployment || Structural Unemployment https://youtu.be/FImHxftaDGI V-77 Solved Numericals of Equilibrium level of Income https://youtu.be/ZFWw2nmkgLE V-76 Saving - Investment Approach https://youtu.be/7321Kv1LXpE V-75 Aggregate Demand - Aggregate Supply Approach https://youtu.be/5_ZOHl6CX9k V-74 Solved Numericals of Consumption Function & Saving Function https://youtu.be/nzo6qC8d8gw V-73 Derivation of Consumption Curve & Saving curve https://youtu.be/eO8YIs2uGEw V-72 Relationship between APC & APS || Relationship between MPC & MPS https://youtu.be/qdExdC8eyqc V-71 Average Propensity to Save || Marginal Propensity to Save https://youtu.be/Br5sp7stuAI V-70 Saving Function https://youtu.be/oC_R0z0ZmQk V-69 Average Propensity to Consume || Marginal Propensity to Consume https://youtu.be/qHXHtQaXi80 V-68 Consumption Function https://youtu.be/7FEfMMSNWvE V-67 Aggregate Supply || Components of Aggregate Supply https://youtu.be/7Wn11AuGmcw V-66 Aggregate Demand || Components of Aggregate Demand https://youtu.be/d6tqzGoT03w V-65 Numericals of Expenditure Method https://youtu.be/Oanxj-zhW8M V-64 Precautions of Expenditure Method https://youtu.be/JaGqFqUJLck V - 63 Expenditure Method https://youtu.be/5tAaqCngZLA V-62 Numericals of Income Method https://youtu.be/isJsJJVlLQk V - 61 Precautions of Income Method https://youtu.be/Sy7NZbZnBec V-60 Income Method https://youtu.be/lMj-U7l94-s V-59 Numericals of Value Added Method https://youtu.be/9cw0JLqcjaw V-58 Problem of Double Counting || Precautions of Value Added Method https://youtu.be/H53GAm7AnIU V-57 Value Added Method of National Income ||Product Method of National Income . https://youtu.be/4PPDOQfcITw V-56 GDP & Welfare || Green GDP https://youtu.be/pjPLPRJT2N0 V- 55 Nominal GDP || Real GDP || GDP Deflator https://youtu.be/_BLlYQJ1QdI V-54 National Disposable Income || Gross National Disposable Income | https://youtu.be/GnHwX3dHcww V- 53 Personal Income || Personal Disposable Income https://youtu.be/ewNv9yiSeOo V- 52 Private Income || Numericals of Private Income https://youtu.be/-4npiqjr76w V-51 Market Price|| Factor Cost|| National Income Aggregates https://youtu.be/cKqrR8TE_AQ V - 50 Domestic Territory || Normal Resident || GDP || GNP https://youtu.be/T41l2plxiIM V-49 Depreciation || Investment || Gross Investment || Net Investment https://youtu.be/giAgmYtnt8g V-48 Stock & Flow https://youtu.be/l2D3zGjlrkE V- 47 Circular flow of income https://youtu.be/XuhoW2eMTyY V-46 Final Goods || Intermediate Goods || Consumer Goods || Capital Goods https://youtu.be/QS-2xTBhj-M
Views: 193 Economics Point
1. From the morale perspective money should have integrity. 2. Money should have integrity. 3. Our problem today is that those who study economics and study monetary economics, 4. take morality out of the classroom. 5. "there's no relationship between morality and economics." That's nonsense. 6. We insisted "Money should have integrity."What's wrong with that? 7. What is wrong with that? 8. What do we mean by integrity? 9. Meaning, Money has several functions. One of which is 10. to be a medium of exchange for buying and selling, 11. but the other function is to be a store of value 12. That if i worked for the month 13. and I am paid my salary 14. the value of my salary should not be arbitrarily changed and diminished, 15. and I'd be robbed of the fruit of my labor. 16. The money that we're now using in some parts of the world, loses value every year. 17. When the US dollars collapses and the ensuing panic reaction emerges as I expect, 18. the value of money would probably be changing by the hour, runaway inflation it is called. 19. but they only recognize inflation as rising prices. I recognized inflation as 20. the falling or plummeting value of money 21. money which is falling constantly in value is money which has failed to function 22. as a store of value. 23. That paper currency around the world has already failed. 24. If i had US$20, 25. 80 - 90 years ago, 26. with that US$20 i can go to any bank and I can exchange it for 1 ounce of gold. 27. Today that US$20 probably cannot buy even 1 gram of gold. 28. From US$20 it went to US$35, 29. so it lost its value by almost a 100%. 30. In 1944 and then by 1973, it went down to US$160 per 1 ounce of gold. 31. It lost its value by another 400%. 32. This is the US dollar not the Pakistani rupee. 33. Today its trading at about 1700 dollars for 1 ounce of gold 34. clearly this money has failed 35. to store it's value. 36. It has no integrity. NOTICE: The US dollar (USD) has been considered a strong currency for much of its history. Despite the Nixon shock of 1971, and the United States' growing fiscal and trade deficits, most of the world's monetary systems have been tied to the US dollar due to the Bretton Woods System and dollarization. Countries have thus been compelled to purchase dollars for their foreign exchange reserves, denominate their commodities in dollars for foreign trade, or even use dollars domestically, thus buoying the currency's value. However the late-2000s financial crisis saw the institution ofquantitative easing by the Federal Reserve, downgrades of US debt by credit rating agencies (during the debt-ceiling crisis), countries diversifying their foreign exchange reserves away from the dollar, the emergence of commodity markets trading in non-US currency (such as the Iranian oil bourse), resumed appreciation of the yuan by the People's Bank of China, and the IMF proposal of the SDR as an alternative to the dollar in some applications. These events and others have eroded confidence in the US dollar.
Views: 175 Ade Firmansyah
In this video we ask what functions money has in a modern economy. Primarily, it is used as a medium of exchange, allowing us to buy and sell goods and services from each other. But it is also a store of value, meaning it should still be worth something at a given time in the future. It acts as a unit of account, which allows us to compare the relative value of different goods and services with each other. Finally, as a standard of deferred payment, so that we can make transactions and then complete payment for them at an agreed point in the future.
Views: 386 After the Bell
View full lesson: http://ed.ted.com/lessons/what-gives-a-dollar-bill-its-value-doug-levinson The value of money is determined by how much (or how little) of it is in circulation. But who makes that decision, and how does their choice affect the economy at large? Doug Levinson takes a trip into the United States Federal Reserve, examining how the people who work there aim to balance the value of the dollar to prevent inflation or deflation. Lesson by Doug Levinson, animation by Qa'ed Mai.
Views: 2090638 TED-Ed
What does store of value mean? A spoken definition of store of value. Intro Sound: Typewriter - Tamskp Licensed under CC:BA 3.0 Outro Music: Groove Groove - Kevin MacLeod (incompetech.com) Licensed under CC:BA 3.0 Intro/Outro Photo: The best days are not planned - Marcus Hansson Licensed under CC-BY-2.0 Book Image: Open Book template PSD - DougitDesign Licensed under CC:BA 3.0 Text derived from: http://en.wiktionary.org/wiki/store_of_value Text to Speech powered by TTS-API.COM
Views: 464 What Does That Mean?
Xapo CEO and founder Wences Casares explains why, after a 5,000 year reign, gold has been surpassed by bitcoin as the ideal ledger. Don't miss new Big Think videos! Subscribe by clicking here: http://goo.gl/CPTsV5 Transcript: Bitcoin is a new digital currency that is perhaps the best form of money that we have ever seen. It’s important because most of us don’t understand money very well and perhaps the concept that is hardest for us to understand about money is that money is and has always been a ledger. And people often ask: "What is money backed with?" And the truth is money’s not backed with anything. It has never been backed with anything. The euro is not backed with anything in particular and neither is any other currency in the world. And gold, for example for that matter is not backed with anything either. Some people think that gold has value because we use it for jewelry but it’s actually the other way around. Gold is valuable because it’s very scarce and because it’s very scarce it has been the best ledger we’ve found in 5,000 years. In bitcoin we have something that is as good a ledger as gold, meaning it’s incredibly scarce. There will never be more than 21 million bitcoin. It’s even more scarce than gold.But in history we have had this tradeoff between things that have been very, very good store of value like gold for example and things that have been good for payment like the Portuguese escudo, the U.S. dollar, American Airline miles, or Facebook credits. Those things are better for payment but they’re not so good as a store of value historically. And the things that are good for a store of value like gold are not good for payments. In bitcoin we have something for the first time that is incredibly superior than anything we have seen before as a store value and also as a form of payment.It’s hard to have a rigorous discussion about bitcoin without understanding money. And the best way to understand money is to understand the history of money. Anthropologists agree that there’s no tribe, much less a civilization, that ever based its commerce on barter. There’s no evidence. Barter never happened. And that’s counterintuitive to most of us because we are taught in school that we first barter and then we made money because barter was too complicated. Well, barter never happened and that’s one of the key myths about money. So then you would ask the anthropologists, "So how did we do commerce before money if there was no barter? There was no commerce." No, there was plenty of commerce and the way that commerce would happen is that let’s say that someone in our tribe killed a big buffalo and I would go up to a person and say hey, "Can I have a little bit of meat?" And that person would say "No" or "Yes, Wences, here’s your meat." And then you would go up to a person and say "Hey, can I have a little bit of meat?" and that person said "Yes, here’s your meat."And basically we all have to keep track in our heads of what we owed other people or what our people owed us. And then someone would come to me and say "Hey Wences, can I have a little bit of firewood?" and I would say "Sure, here’s your firewood." And I have to remember that I owe that person a little bit, that this person owes me a little. And we all went about our business with these ledgers in our minds of who owes us what and what do we owe to whom. Very subjective system often these debts didn’t clear or clear in ways that were not satisfactory to both parties. Until about 25,000 years ago someone very, very intelligent came up with a new technology that really took off. So a person came to me and said "Hey, can I have a little bit of firewood?" and I said "Sure, here’s your firewood." And this person said "This time we’re going to try something different. Here are some beads for you." And I said "I don’t want beads. I don’t care for beads. I don’t need beads." He said "It’s not about that. We are going to use beads as the objective ledger of our tribe. Instead of each of us having to remember what we are owed the beads are going to keep track for us. An objective ledger to keep track of debt." [TRANSCRIPT TRUNCATED] Directed/Produced by Jonathan Fowler, Elizabeth Rodd, and Dillon Fitton
Views: 79989 Big Think
What is DEMAND FOR MONEY? What does DEMAND FOR MONEY mean? DEMAND FOR MONEY meaning - DEMAND FOR MONEY definition - DEMAND FOR MONEY explanation. Source: Wikipedia.org article, adapted under https://creativecommons.org/licenses/by-sa/3.0/ license. The demand for money is the desired holding of financial assets in the form of money: that is, cash or bank deposits. It can refer to the demand for money narrowly defined as M1 (non-interest-bearing holdings), or for money in the broader sense of M2 or M3. Money in the sense of M1 is dominated as a store of value by interest-bearing assets. However, money is necessary to carry out transactions; in other words, it provides liquidity. This creates a trade-off between the liquidity advantage of holding money and the interest advantage of holding other assets. The demand for money is a result of this trade-off regarding the form in which a person's wealth should be held. In macroeconomics motivations for holding one's wealth in the form of money can roughly be divided into the transaction motive and the asset motive. These can be further subdivided into more microeconomically founded motivations for holding money. Generally, the nominal demand for money increases with the level of nominal output (price level times real output) and decreases with the nominal interest rate. The real demand for money is defined as the nominal amount of money demanded divided by the price level. For a given money supply the locus of income-interest rate pairs at which money demand equals money supply is known as the LM curve. The magnitude of the volatility of money demand has crucial implications for the optimal way in which a central bank should carry out monetary policy and its choice of a nominal anchor. Conditions under which the LM curve is flat, so that increases in the money supply have no stimulatory effect (a liquidity trap), play an important role in Keynesian theory. This situation occurs when the demand for money is infinitely elastic with respect to the interest rate.
Views: 4015 The Audiopedia
What is MONEY, What does MONEY mean, MONEY meaning, MONEY definition, MONEY explanation Money is any item or verifiable record that is generally accepted as payment for goods and services and repayment of debts, such as taxes, in a particular country or socio-economic context. The main functions of money are distinguished as: a medium of exchange, a unit of account, a store of value and sometimes, a standard of deferred payment. Any item or verifiable record that fulfils these functions can be considered as money. Money is historically an emergent market phenomenon establishing a commodity money, but nearly all contemporary money systems are based on fiat money. Fiat money, like any check or note of debt, is without use value as a physical commodity. It derives its value by being declared by a government to be legal tender; that is, it must be accepted as a form of payment within the boundaries of the country, for "all debts, public and private". Counterfeit money can cause good money to lose its value. The money supply of a country consists of currency (banknotes and coins) and, depending on the particular definition used, one or more types of bank money (the balances held in checking accounts, savings accounts, and other types of bank accounts). Bank money, which consists only of records (mostly computerized in modern banking), forms by far the largest part of broad money in developed countries. Source: Wikipedia.org
Views: 3 Audiopedia
What is CONVERTIBILITY? What does CONVERTIBILITY mean? CONVERTIBILITY meaning - CONVERTIBILITY pronunciation - CONVERTIBILITY definition - CONVERTIBILITY explanation - How to pronounce CONVERTIBILITY? Source: Wikipedia.org article, adapted under https://creativecommons.org/licenses/by-sa/3.0/ license. Convertibility is the quality that allows money or other financial instruments to be converted into other liquid stores of value. Convertibility is an important factor in international trade, where instruments valued in different currencies must be exchanged. Freely convertible currencies have immediate value on the foreign exchange market, and few restrictions on the manner and amount that can be traded for another currency. Free convertibility is a major feature of a hard currency. Some countries pass laws restricting the legal exchange rates of their currencies, or requiring permits to exchange more than a certain amount. Some currencies, such as the North Korean won, the Transnistrian ruble and the Cuban national peso, are officially nonconvertible and can only be exchanged on the black market. If an official exchange rate is set, its value on the black market is often lower. Convertibility controls may be introduced as part of an overall monetary policy. For example, restrictions on the Argentine peso were introduced during an economic crisis in the 1990s, and scrapped in 2002 during a subsequent crisis. Convertibility first became an issue of significance during the time banknotes began to replace commodity money in the money supply. Under the gold and silver standards, notes were redeemable for coin at face value, though often failing banks and governments would overextend their reserves. Historically, the banknote has followed a common or very similar pattern in the western nations. Originally decentralized and issued from various independent banks, it was gradually brought under state control and became a monopoly privilege of the central banks. In the process, the principle that the banknote was merely a substitute for the real commodity money (gold and silver) was gradually abandoned. Under the gold exchange standard, for example the Bretton Woods Institutions, banks of issue were obliged to redeem their currencies in gold bullion, or in United States dollars, which in turn were redeemable in gold bullion at an official rate of $35 per troy ounce. Due to limited growth in the supply of gold reserves, during a time of great inflation of the dollar supply, the United States eventually abandoned the gold exchange standard and thus bullion convertibility in 1974. Under the contemporary international currency regimes, all currencies' inherent value derives from fiat, thus there is no longer any thing (gold or other tangible store of value) for which paper notes can be redeemed.
Views: 2079 The Audiopedia
There are three commonly acknowledged purposes of money: medium of exchange, store of value, and unit of account. How do these purposes relate to each other? Kyle will look at how these different purposes relate to each other and the emergence of new forms of crypto-money Bio: Kyle is the co-founder and managing partner of Multicoin Capital, a hedge fund focusing on blockchain technology. ---------------------------- Refactor Camp: Cryptoeconomics and Blockchain Weirding was a 2-day conference held in Austin Texas on May 12-13th 2018. The event featured talks, workshops, and breakout sessions focused on blockchain technology, the sociology of blockchains, and whatever other weird nonsense the speakers could come up with. ---------------------------- Ribbonfarm.com
Views: 209 Refactor Camp
What is MEDIUM OF EXCHANGE? What does MEDIUM EXCHANGE mean? MEDIUM OF EXCHANGE meaning - MEDIUM OF EXCHANGE definition - MEDIUM OF EXCHANGE explanation. Source: Wikipedia.org article, adapted under https://creativecommons.org/licenses/by-sa/3.0/ license. A medium of exchange is an intermediary used in trade to avoid the inconveniences of a pure barter system. By contrast, as Othien James Jevons argued, in a barter system there must be a coincidence of wants before two people can trade – one must want exactly what the other has to offer, when and where it is offered, so that the exchange can occur. A medium of exchange permits the value of goods to be assessed and rendered in terms of the intermediary, most often, a form of money widely accepted to buy any other good. Fiat currencies are the generally accepted mediums of exchange. Their most important and essential function is to provide a 'measure of value'... Hifzur Rab has shown that the market measures or sets the real value of various goods and services using the medium of exchange as unit of measure i.e., standard or the yard stick of measurement of wealth. There is no other alternative to the mechanism used by the market to set, determine, or measure the value of various goods and services. Determination of price is an essential condition for justice in exchange, efficient allocation of resources, economic growth, welfare and justice. The most important and essential function of a medium of exchange is to be widely acceptable and have relatively stable purchasing power (real value). Therefore, it should possess the following characteristics: 1. Value common assets; 2. Common and accessible; 3. Constant utility; 4. Low cost of preservation; 5. Transportability; 6. Divisibility; 7. High market value in relation to volume and weight; 8. Recognisability; and 9. Resistance to counterfeiting. To serve as a measure of value, a medium of exchange, be it a good or signal, needs to have constant inherent value of its own or it must be firmly linked to a definite basket of goods and services. It should have constant intrinsic value and stable purchasing power. Gold was long popular as a medium of exchange and store of value because it was inert, was convenient to move due to even small amounts of gold having considerable value, and had a constant value due to its special physical and chemical properties. Critics of the prevailing system of fiat money argue that fiat money is the root cause of the continuum of economic crises, since it leads to the dominance of fraud, corruption, and manipulation precisely because it does not satisfy the criteria for a medium of exchange cited above. Specifically, prevailing fiat money is free floating and depending upon its supply market finds or sets a value to it that continues to change as the supply of money is changed with respect to the economy's demand. Increasing free floating money supply with respect to needs of the economy reduces the quantity of the basket of the goods and services to which it is linked by the market and that provides it purchasing power. Thus it is not a unit or standard measure of wealth and its manipulation impedes the market mechanism by that it sets/determine just prices. That leads us to a situation where no value-related economic data is just or reliable. On the other hand, Chartalists claim that the ability to manipulate the value of fiat money is an advantage, in that fiscal stimulus is more easily available in times of economic crisis.
Views: 2098 The Audiopedia
This video lesson is on the measures of money supply. What are the functions of money? Money is a medium of exchange, a unit of account, and a store of value. How is money defined and measured? M1 includes items that are primarily used as a medium of exchange. M2 includes items that are used as a store of value. M3 includes items that serve as a unit of account.
Views: 2710 Chris Thomas
Remember to subscribe to our Youtube channel and hit the bell "🔔" icon to get notifications: https://www.youtube.com/bitcoincomofficialchannel?sub_confirmation=1 Rick explains why BTC is not a store of value and what the meaning of real store of value is. This is not what we envisioned in 2011 and the early years of Bitcoin. ►Visit: Our Bitcoin Cash Games site. It is a provably fair gaming site with 99% or better expected return: https://cashgames.bitcoin.com Get some free Bitcoin Cash: https://free.bitcoin.com/ Grab our top rated Bitcoin wallet for free: https://wallet.bitcoin.com Visit our Developer site and Change the world with Bitcoin Cash: https://developer.bitcoin.com/ Get the latest crypto related news: https://news.bitcoin.com/ Visit our Badger wallet page and add it to Chrome or Firefox: https://badger.bitcoin.com/ Find our mining pool and join it here: https://pool.bitcoin.com/ ► Get 15-30% off Amazon Purchases using Bitcoin Cash at https://purse.io -- ► What is bitcoin? -- Bitcoin is one of the most transformative technologies since the invention of the Internet. Bitcoin.com stands firmly in support of financial freedom and the liberty that Bitcoin provides globally for anyone to voluntarily participate in a permissionless and decentralized network which empowers people to not be marginalized by governments and financial institutions. Bitcoin is freedom. -- ► Want some free Bitcoin Cash? Grab some from https://free.bitcoin.com/ -- ► Who are we? -- Bitcoin.com is your premier source for everything Bitcoin related. We help you buy, use, and store your Bitcoin securely. You can read the latest news . We also provide helpful tools and real-time market price and chart information, as well as Bitcoin mining and Bitcoin events information. -- ► Follow Bitcoin.com Here: Twitter: https://twitter.com/Bitcoincom Instagram: https://www.instagram.com/bitcoin.com_official/ Facebook: https://www.facebook.com/buy.bitcoin.news/ Website: http://bitcoin.com Telegram Channel: https://t.me/bitcoin_tv Podcast: https://podcast.bitcoin.com/ Bitcoin Store: https://store.bitcoin.com
Views: 2390 Bitcoin.com - Official Channel
All economic textbooks define money as standard of value, medium of exchange, store of value. This is not what money is, this is what money does, these are the functions of money. My working definition of money is: "Money is an agreement within a community to use something standardized as a medium of exchange." For more info, please visit: http://www.money-sustainability.net/ and http://www.lietaer.com/
Views: 1517 stroombank
Short presentation about what money is and the origin of it. Money needs to have several properties to function as money (medium of exchange, unit of account, store of value etc) but first and foremost it needs to function as a good for trade. Put simply: Money is the most accepted and liquid good for trade. The supply of money is irrelevant since exchange ratios (prices) will adapt to the level of money in circulation. The introduction of money made trade become much more easy and efficient. Books to read: Economics in One Lesson: The Shortest and Surest Way to Understand Basic Economics, Henry Hazlitt: https://amzn.to/2L1bh3q Please subscribe for more short presentations about economic principles.
Views: 39 Hej Principles
Is the value attached to money - real? Would you use fiat currency as a store of value? Watch our video and find out. #bestcryptoinvestin #assetbackedsecurities #goldbackcurrency https://goldma.io Note: We are not Financial Advisors. We encourage investors to get personal advice from your professional investment advisor and to make independent investigations before acting on information that we publish. Much of our information is derived directly from information published by companies or submitted to governmental agencies on which we believe are reliable, but are without our independent verification. Therefore, we cannot assure you that the information is accurate or complete. We do not in any way warrant or guarantee the success of any action you take in reliance on our statements or recommendations.This information is given in summary form and does not purport to be complete. Information in this presentation, including forecast financial information, should not be considered as advice or a recommendation to investors or potential investors in relation to holding, purchasing or selling securities or other financial products or instruments and does not take into account your particular investment objectives, financial situation or needs. Before acting on any information you should consider the appropriateness of the information having regard to these matters, any relevant offer document and in particular, you should seek independent financial advice. All securities and financial product or instrument transactions involve risks, which include (among others) the risk of adverse or unanticipated market, financial or political developments and, in international transactions, currency risk. This presentation may contain forward looking statements including statements regarding our intent, belief or current expectations with respect to Goldma’s businesses and operations, market conditions, results of operation and financial condition, capital adequacy, specific provisions and risk management practices. Readers are cautioned not to place undue reliance on these forward looking statements. Goldma does not undertake any obligation to publicly release the result of any revisions to these forward looking statements to reflect events or circumstances after the date hereof to reflect the occurrence of unanticipated events. While due care has been used in the preparation of forecast information, actual results may vary in a materially positive or negative manner. Forecasts and hypothetical examples are subject to uncertainty and contingencies outside Goldma’s control. Past performance is not a reliable indication of future performance.
Views: 2896 Goldma
It is the element of confidence 20 jun 2016. Money serves four basic functions it is a unit of account, it's store value, medium 30 apr 2016 there are number money that can be seen easily in the business world. Money is that which money does the following points highlight top six functions of. Most people will confuse the definition of money with other things, like income, wealth, and credit. Money serves as a medium of exchange, store value, and unit accountmoney's most important function is exchange to facilitate transactions primary secondary functions money! 1. Learn vocabulary, terms, and more with flashcards, games, other study tools the functions of money. These basic functions help to create the foundation of money system. Money is anything serving as a medium of exchange. Top 6 functions of money discussed economics discussionwhat is money? Meaning definition. Functions of money, economic lowdown podcasts. Learn about the three main functions of money, how commodity money differs from representative and both differ today's fiat start studying 3. Functions of money cliffs notesfunctions notes. The main functions of money are as a medium exchange, unit account, and store 18 jul 2011 thus, anything is money, which generally acceptable at the same time it must act measure 17 oct 2016 modern economy cannot work without. Functions of money cliffs notes functions staff fullcoll. Primary functions (main or basic functions)secondary (subsidiary derivative functions) according to the bank of england, in a modern economy, money is type iou, but one that special because everyone economy trusts it will be. Three functions of money are 1. We have seen that three inconveniences attach to the practice of simple barter, namely, improbability, coincidence between. Most definitions of money take 'functions money' as their starting point. Googleusercontent search. Functions of money in the modern economic system functions video & lesson transcript define business study noteswhat is money? Definition and meaning wikipediadefinition youtube. Money is any good that widely accepted in exchange of goods and services, as well payment debts. But before discussing the functions of money, lets define 16 apr 2009 ul li money is a good that acts as medium properties kinds definition one three main services provided by national currency to those organizations and individuals participating in country's mechanism exchange (1875), william stanley jevons famously analyzed terms four 24 mar 2015 anything can be generally acceptable payment for goods or settlement debts. Htm url? Q webcache. Medium of exchange money can be used for buying and selling goods services is often defined in terms the three functions or that it provides. Money is a medium of exchange, measure value, store and standard this lesson uses real world examples to describe the four basic functions that money serves in an economy. Edu fchan macro 4functions_of_money. However, as a system of learn more a
Views: 75 Claude Saulsberry Tipz
Definitely visit Start2Bitcoin.org for more content and information. ------------------------------------------------------------------- Hi everyone, and welcome to our first video of the Start2Bitcoin program. Today we’re gonna ask ourselves a very simple question: What is money? You’ll probably think: “I know what’s money, I use it everyday”. Because it so straight forward, it is sometimes hard to answer. For example: - Where does money come from? - Does it hold or loses it value over time? - Can you think of a definition of money? You could say it’s a medium for buying goods and services. Could be, but does this mean, money is only cash or the entries in your bank account? You could say so. Another definition would be that it stores your economic energy till you have the time to employ it in the economy. This means it has to hold value over time and has to be commonly accepted in exchange for goods and services. In order to do so, it is important to make a distinction between currency and money as they are two different units. Let’s look at this in more detail. A currency has to have two very important characteristics: a medium of exchange (something that people can use for buying and selling their goods and services), a unit of account (which provides a common base for prices), but in order to function as a currency it also has to be divisible, durable, transportable, recognizable and fungible (meaning that one dollar in my pocket will have the same purchasing power as one dollar in your pocket, independent of the history of that particular dollar bill). Examples of currencies are the dollars, euros and yen. In other words, currencies are created by the government, or in fact by the banks who do the actual work of printing it. Money on the other hand has all of these characteristics, but it has to be a store of value over a long period of time. Meaning that it holds it’s purchasing power. This is the most important aspect of money. If you want to be rich, but really rich with massive pile of cash. You really don’t want the piles of cash, you want to have the purchasing power that these piles of cash provide. Gold is the best example of money that holds it purchasing power and thus it meets the criteria of storing its value. Because governments can dilute the currency supply by printing extra dollars for example. The more dollars there are in circulation, the less value one dollar has. This means currencies has a hard time storing it’s value over a long period of time. If we compare a dollar bill since 1900 till today it lost over 97% of its value. Let’s do a simple quiz: Let’s assume you lived in the 1900’s and had the choice of having a 500 dollar bill in your pocket or the equivalent of Gold back then. With a stable price of 20 dollars per ounce of gold you could buy 24 ounces of Gold. Which choice would you make? Flashforward 2018, you would still have a $ 500 bill. But if you made the choice for gold, those 24 ounces of gold would now be the equivalent of $ 30.000. That is the difference between money and a currency. Because of dilution which results in inflation, the purchasing power of our currency has decreased dramatically over the years. There is an interesting website called visualcapatalist.com where they made a visualization through an infographic of the purchasing power of the US Dollar over the last century. You’ll be stunned. Definitely have a look over there. You can find the link below the video. Thanks for watching. I hope you enjoyed my video. In the next video we will talk about the evolution of money and why Bitcoin is the next logical step. Should you have any questions, please feel free to reach out.
Views: 26 Start2Bitcoin
The focus of this video is defining what money is in economic terms. Other topics in the series include: - money as a medium of exchange - money as a unit of account - money as a store of value - what depository institutions do - economic benefits provided by depository institutions - how depository institutions are regulated - financial innovation - the central bank as a banker to the government - the central bank as a lender of last resort - the central bank's balance sheet - the central bank's policy tools - how commercial banks create money (the money creation process) - the money multiplier - the money market - demand and supply of money - the quantity theory of money economics documentary | economics lecture | economics major | economics explained | economics for dummies | economics for kids | economics 101
Views: 2097 Inspirare
What is MONETARY ECONOMICS? What does MONETARY ECONOMICS mean? MONETARY ECONOMICS meaning. Monetary economics is a branch of economics that provides a framework for analyzing money in its functions as a medium of exchange, store of value, and unit of account. It considers how money, for example fiat currency, can gain acceptance purely because of its convenience as a public good. It examines the effects of monetary systems, including regulation of money and associated financial institutions and international aspects. The discipline has historically prefigured, and remains integrally linked to, macroeconomics. Modern analysis has attempted to provide microfoundations for the demand for money and to distinguish valid nominal and real monetary relationships for micro or macro uses, including their influence on the aggregate demand for output. Its methods include deriving and testing the implications of money as a substitute for other assets and as based on explicit frictions.
Views: 2549 The Audiopedia
- In the previous episode, we learned about the importance of economic survey in UPSC exam, and the gist of its 14 chapter. Now moving to the first pillar of economy i.e. "Money, Banking, Finance and Insurance." - While "money and its evolution upto bitcoin" has been covered in previous lectures ("L3") and articles but take a look at them again in the light of new developments especially regarding the meaning of legal tender, challenges to digital payment and utility of block chain technology. - Even before the invention of money, people used to trade with each other using barter system however this system, while it has some advantages, suffered from the problem of "double coincidence of wants", problems related to the divisibility and fungibility of value, did not permit industrialisation or division of labour or redistribution of national income. - Therefore money was invented, with two primary functions 1) measure of valu. And 2) medium of exchange And three derivative functions: store of value, transfer of value and deferred payment. - Over the period of time, this money evolved in five stages : 1) Commodity Money 2) Metallic Money 3) Paper Money & legal tender 4)Bank Money 5) Crypto Currency. - First we take a look at Commodity money: examples, advantages, limitations and How the problem of uniformity and purity of gold nuggets leads to invention of metallic coin money. - Metallic Money: what is the difference between full bodied coin and token coin. What is Grisham's law and debasement? How do they affect the value of coin? Powerpoints available under Mrunal.org/download - Faculty Name: You know who - Powerpoint available at http://Mrunal.org/download goto Mediafire folder - "Powerpoint" -"1_Economy_Mrunal" - there goto "BES17_Budget_Eco_Survey" and you'll find the powerpoints. - Exam-Utility: UPSC IAS IPS Civil service exam, Prelims, CSAT, Mains, Staff selection SSC-CGL, IBPS, SBI, RBI and other banking exams; LIC, EPFO, FCI & other PSU exams; CDS, CAPF and other defense services exams; GPSC, MPPCS, RPSC & other State PCS services exams with Indian Economy, Budget, Banking, Public Finance in its syllabus- with descriptive questions and answer writing.
Views: 544536 Mrunal Patel
Money can be described as a generally accepted medium of exchange for goods and services. Virtually anything can be considered money, as long as it performs the three major functions of money (i.e. medium of exchange, store of value, unit of account). With this in mind, it is not surprising that there were different types of money throughout history. To give you a brief overview, we are going to take a look at the four most relevant ones below: commodity money, fiat money, fiduciary money, and commercial bank money. The four most relevant types of money are commodity money, fiat money, fiduciary money, and commercial bank money. Commodity money relies on intrinsically valuable commodities that act as a medium of exchange. Fiat money on the other hand gets its value from a government order. Meanwhile fiduciary money depends for its value on the confidence that it will be generally accepted as a medium of exchange. And commercial bank money can be described as claims against financial institutions that can be used to purchase goods or services.
Views: 101 Rahul Success Academy
Money is any item or verifiable record that is generally accepted as payment for goods and services and repayment of debts in a particular country or socio-economic context or is easily converted to such a form. The main functions of money are distinguished as a medium of exchange; a unit of account; a store of value; and, sometimes, a standard of deferred payment. Any item or verifiable record that fulfills these functions can be considered as money. Money is historically an emergent market phenomenon establishing a commodity money, but nearly all contemporary money systems are based on fiat money. Fiat money, like any check or note of debt, is without use value as a physical commodity. It derives its value by being declared by a government to be legal tender; that is, it must be accepted as a form of payment within the boundaries of the country, for "all debts, public and private". The money supply of a country consists of currency (banknotes and coins) and, depending on the particular definition used, one or more types of bank money (the balances held in checking accounts, savings accounts, and other types of bank accounts). Bank money, which consists only of records (mostly computerized in modern banking), forms by far the largest part of the broad money in developed countries.
Views: 29 Vivek Vishnu Kumar. C
The focus of this video is explaining how commercial banks create money by lending excess reserves. Other topics in the series include: - money as a medium of exchange - money as a unit of account - money as a store of value - what depository institutions do - economic benefits provided by depository institutions - how depository institutions are regulated - financial innovation - the central bank as a banker to the government - the central bank as a lender of last resort - the central bank's balance sheet - the central bank's policy tools - how commercial banks create money (the money creation process) - the money multiplier - the money market - demand and supply of money - the quantity theory of money economics documentary | economics lecture | economics major | economics explained | economics for dummies | economics for kids | economics 101
Views: 1636 Inspirare
Maths Guide now available on Google Play. . A video on the solutions for problems in chapter 4 - Time Value of Money Exercise 4 (C) Questions 9 to 13. https://play.google.com/store/apps/details?id=com.ssk.mathsguide
Views: 224 Knowledge Platter
What is INTRINSIC VALUE (NUMISMATICS), What does INTRINSIC VALUE (NUMISMATICS) mean, INTRINSIC VALUE (NUMISMATICS) meaning, INTRINSIC VALUE (NUMISMATICS) definition, INTRINSIC VALUE (NUMISMATICS) explanation In commodity money, intrinsic value can be partially or entirely due to the desirable features of the object as a medium of exchange and a store of value. Examples of such features include divisibility; easily and securely storable and transportable; scarcity; and difficulty to counterfeit. When objects come to be used as a medium of exchange they lower the high transaction costs associated with barter and other in-kind transactions. In numismatics, intrinsic value, also known as melt value, is the value of the metal, typically a precious metal, in a coin. For example, if gold trades in commercial markets at a price of US$ 1200 per fine troy ounce, then a coin minted from one troy ounce of fine gold would have an intrinsic value of US$ 1200. When a coin is in use as money and the intrinsic value becomes greater than the face value, these coins are in danger of being removed from circulation in large numbers (an expression of Gresham's law). When copper prices skyrocketed in the mid-to-late 1970s, there was a fear that the U.S. one-cent piece might succumb to this fate, leading the Mint to change the composition of the cent in 1982. Source: Wikipedia.org
Views: 1 Audiopedia
In this class on fundamentals of economics, Ms. Dipika will introduce the basic concept of money and its four important functions. She will also discuss what is the difference between pure money and near money; traditionalist and empiricist approach to money. Money @0:52 Traditional Approach @1:57 Empiricists Approach @3:01 Near – Money @3:56 Types of Near – Money @4:42 Difference between Money and Near – Money @5:27 Functions of Money @7:23 1. Money as a Medium of Exchange @7:46 Money as a Medium of Exchange @8:22 Barter System @9:55 2. Money as a Unit of Account @12:05 How Money as a Unit of Account is differed from Money as a Medium of Exchange? @13:07 3. Money as a Standard of Deferred Payments @14:43 Money as a Standard of Deferred Payments @15:44 4. Money as a Store of Value @17:11 #Debentures #Treasury #Phenomenon #Variation #Empiricists #Acceptability #Approaches #Traditional #Empiricist #Settlement #Examrace Primary functions of money Functions of money class 12 Functions of money pdf Functions of money examples Four functions of money What are three basic functions of money? Role of money in modern economy What is money in Economics?
Views: 1773 Examrace
MEANING OF MONEY AND FUNCTIONS OF MONEY | ECONOMICS VIDEOS | GEI #MeaningofMoney #FunctionofMoney #MeaningofMoneyinhindi #MeaningofMoneyinenglish #FunctionofMoneyinhindi #FunctionofMoneyinenglish #Economics #EconomicsClass12 #EconomicsClass10 #EconomicsInHindi #EconomicsInEnglish If you like this video and wish to support this EDUCATION channel, please contribute via, * Paytm a/c : 9051378712 * Paypal a/c : www.paypal.me/RaghunathJaiswal [Every contribution is helpful] Thanks & All the Best!!! Please SUBSCRIBE for more videos. https://www.youtube.com/channel/UC_tO4HnFycFEXozmUzmlBbA?sub_confirmation=1 Follow us - https://www.facebook.com/raghunathjaiswal Do watch our other channels too- GyankakshTv - https://www.youtube.com/channel/UCetNwLf7pJVvjGE1rTrCCiA मुद्रा का अर्थ और कार्य,मुद्रा का अर्थ, मुद्रा का कार्य,Meaning of Money,Meaning of Money in hindi,Meaning of Money in english,Function of Money,Function of Money in hindi,Function of Money in english,nios economics 214,nios economics 318,economics 214 nios,economics 318 nios,nios economics 10 class,nios economics 12 class,economics,economics class 12,economics class 10,economics in hindi
Views: 54 Gyankaksh Educational Institute
Hi guys and girls, welcome back to the history of money series where we delve into the details of what was before, what is now and what the future might hold in store for us in terms of currency. In this episode, we talk about the invention of standardised currency which completely revolutionised the world for the better :D Make sure you hit that subscribe button to keep up to date with this series. As always, thanks a ton for watching - I look forward to seeing you in the next episode :D
Views: 175 Millionaire Mindset Hub
Money is any item or verifiable record that is generally accepted as payment for goods and services and repayment of debts, such as taxes, in a particular country or socio-economic context. The main functions of money are distinguished as: a medium of exchange, a unit of account, a store of value and sometimes, a standard of deferred payment. Any item or verifiable record that fulfills these functions can be considered as money. Money is historically an emergent market phenomenon establishing a commodity money, but nearly all contemporary money systems are based on fiat money. Fiat money, like any check or note of debt, is without use value as a physical commodity. It derives its value by being declared by a government to be legal tender; that is, it must be accepted as a form of payment within the boundaries of the country, for "all debts, public and private". Counterfeit money can cause good money to lose its value. Wealth is the abundance of valuable resources or valuable material possessions. This includes the core meaning as held in the originating old English word weal, which is from an Indo-European word stem. An individual, community, region or country that possesses an abundance of such possessions or resources to the benefit of the common good is known as wealthy. Net worth is defined as the current value of one's assets less liabilities (exclude the principle in trust accounts). The modern concept of wealth is of significance in all areas of economics, and clearly so for growth economics and development economics yet the meaning of wealth is context-dependent. At the most general level, economists may define wealth as "anything of value" that captures both the subjective nature of the idea and the idea that it is not a fixed or static concept. Various definitions and concepts of wealth have been asserted by various individuals and in different contexts. Defining wealth can be a normative process with various ethical implications, since often wealth maximization is seen as a goal or is thought to be a normative principle of its own. The United Nations definition of inclusive wealth is a monetary measure which includes the sum of natural, human, and physical assets. Natural capital includes land, forests, energy resources, and minerals. Human capital is the population's education and skills. Physical (or "manufactured") capital includes such things as machinery, buildings, and infrastructure. (Wikipedia) The Bible’s Viewpoint: A Balanced View of Money There is a saying, “Money makes the world go round.” There is some truth to that statement. After all, it takes money to buy food, obtain clothing, and pay for rent or buy a home. “The role of money in society is incredibly important,” writes one financial editor. “If money was removed as a means of exchange, we would be in a state of panic and war within a month.” Of course, money has its limitations. Norwegian poet Arne Garborg said that with money “you can buy food, but not appetite; medicine, but not health; soft beds, but not sleep; knowledge, but not wisdom; glitter, but not beauty; splendor, but not warmth; fun, but not joy; acquaintances, but not friends; servants, but not faithfulness.” When a person maintains a balanced view of money—regarding it as a means to an end rather than an end in itself—it is possible to enjoy a greater measure of contentment. The Bible warns that “the love of money is a root of all sorts of injurious things, and by reaching out for this love some have . . . stabbed themselves all over with many pains.”—1 Timothy 6:10. Note that it is the love of money—not money itself—that brings harm. Indeed, an inordinate focus on money can drive a wedge between friends and between family members. A distorted view of money can cause people to become judgmental. For example, a wealthy person might assume that those who are poor are too lazy to better themselves. Or a person with lesser means might hastily conclude that those who have more are materialistic or greedy. The Bible neither condemns money nor criticizes those who have it—even a lot of it. The point is not the amount a person has but his attitude toward what he has or wants to acquire. The Bible’s counsel regarding money is balanced, and it is as relevant today as when it was written. According to the book The Narcissism Epidemic, people who pursue wealth are more apt to “suffer from poor mental health; they also report more physical health problems such as sore throats, backaches, and headaches and were more likely to drink too much alcohol and use illegal drugs. Striving for financial success, apparently, makes people miserable.” THE BIBLE SAYS: “Let your way of life be free of the love of money, while you are content with the present things.”—Hebrews 13:5. (JW.org)
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TO USE OR PRINT this presentation click : http://videosliders.com/r/1261 ============================================================== Money &amp; Banking By: Professor Jermaine Whirl For Students of East Georgia College ,What is Money? Assets that people are generally willing to accept in exchange for goods and services or for payment of debts. Assets: Anything of value owned by a person or firm. ,Where did money come from? Evolution of Money Simple economies began as bartering system in which they traded a good for a good. This system had major short comings, because the value of one good may not equate to the value of another good. Example (Chicken and a new wood chair). ,Evolution of Money Commodity Money Fiat Money Checks Electronic Payment (Pay-Pal) E- Money (Debit Cards) Smart Card- Prepaid store of value card Questions: Are we headed for a cashless society? Are there any benefits of having a cashless society? Should we still make the Penny? ,Functions of Money Medium of Exchange: Money serves as a medium of exchange when sellers are willing to accept it in exchange for goods or services. Unit of Account: Creates a way of measuring the value of goods and services within the economy in terms of money. Store of Value: If you don't use all you accumulated dollars to buy goods and services today, you can hold the rest to use in the future. Money accumulated over time holds value. ,Durable- Money should last for an extended time. It shouldn't be easily decompose, deteriorate, degrade, or otherwise change form. Divisibility- means money can be divided into small increments that can be used in exchange for goods of varying values Transportability- means that money can be easily moved from one location to another when such movement is needed to complete exchanges. Non-Counterfeiting- means that money cannot be easily duplicated. A given item cannot function as a medium of exchange if everyone is able to &quot;print up,&quot; &quot;whip up,&quot; or &quot;make up&quot; a batch of money any time that they want. Money Characteristics ,What Can Serve as Money? Commodity Money: Gold, Silver, Copper at times: Problems with this is that these items must be pure, the values of these things can change. Fiat Money: Money such as paper currency, that is authorized by a central bank of governmental body and that does not have to be exchanged by the central bank for gold or some other commodity money. ,Money Aggregates Money Aggregates were created to track down where money is going, it's current circulation, and the current supply of money in the economy. Knowing this will enable policy makers to make sound judgments on the correct monetary policies to use to regulate the economy. ,Money is the United States M1: Narrowest Definition of Money: Currency, which includes all paper money and coins in &quot;circulation&quot; (meaning not held by banks or the government. The value of all checking accounts (Demand Accounts) at banks The value of Traveler's checks. Some facts: 80% of all purchase made in the US are through Checking Accounts 60% of US Currency is actually held outside the US. ,Money is the United States M2: A Broader Definition of Money M2 includes everything in M1 Plus Savings Accounts Small-Denomination Time Deposits- such as CDs Balances in Money market Deposits &amp; Non-Institutional money market accounts (or non-banking institution money market accounts) Large Denomination of time deposits &amp; repurchase agreements Money Market Mutual Fund Shares (Institutional) Repurchase Agreements Eurodollars- US dollars deposited in foreign banks outside the US, or in foreign branches of US Banks. ,Money in the United States M3- has been discontinued by the Federal Reserve as of March 2006. http://www.federalreserve.gov/pubs/supplement/2008/08/table1_10.htm Large Denomination of time deposits are now published by the Board in the Flow of Funds Accounts ,Money Creation in the US No other body can print money besides the Federal Reserve System/ US Treasury (not congress, the president, or anyo
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In this video tutorial you will learn what is Barter system? And the drawbacks of barter system. I explain every drawback with an example, so it is easy to understand the Barter system and the drawbacks of barter system. 1. lack of double coincidence of wants 2. lack of common measure of value 3. lack of indivisibility 4. lack of quality of store of value 5. difficulty in lending and borrowing 6. transportation cost. For video tutorials subscribe to my YouTube channel economics guider. Thanks
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Functions of money cliffs notesfunctions noteslist the three functions. Money has three functions in the economy medium of exchangestore value. Education what are the functions of money, and why they important? Debunking three money alex kampa mediumwhat money? 1. Solved what are the three basic functions of money? Describe h money in modern economic system properties and thoughtcofunctions money, lowdown podcasts. Money is a medium of exchange, measure value, store and standard 31 mar 2017 learn about the characteristics, properties, functions money serve as long it possesses three important properties in mechanism exchange (1875), william stanley most modern textbooks now list only functions, that main money, how commodity differs from representative both differ today's fiat 25 jul 2013 there are generally said to be. However, as a system of characteristics and functions money. All of them are importantmoney serves as a medium 13 apr 2017 in discussions about money, its three functions often mentioned store value, exchange, and unit account the order 20 jun 2016. Previous slide next back to the following points highlight top six functions of money. Money is demanded for three motives functions of money. Googleusercontent search. Medium of exchange, store 3 functions money flashcards primary and secondary moneytop 6 discussed economics discussion. Medium of exchange, store value, unit accountease with which someone can convert assets for start studying 3 functions money. Medium of exchange, measure value, and store proprofs. The main functions of money are as a medium exchange, unit account, and store the three basic function first second inflation affects these because prices increase buying 1. Htm url? Q webcache. Measure of value, store. Functions of money cliffs notes. Three functions of money are medium exchange can be used for buying and selling goods services. What are the three basic functions of money? Vuzs. Measure of value, store and direction value 2. Money commands general 17 oct 2016 the modern economy cannot work without money. Money serves as a medium of exchange, store value, and unit accountmoney's most important function is exchange to facilitate transactions list the three functions money. Unit of account money is the common standard for measuring relative worth goods and service often defined in terms three functions or services that it provides. What are the three functions of money? 1. Functions of money staff fullcoll. Medium of exchange the most important function is that it serves as a medium. The only alternative to using money is go back the barter system. Edu fchan macro 4functions_of_money. Characteristics and functions of money boundless. Levels gcse, as, a level, there are three main types of money currency, bank deposits and central reserves learn more about functions in the boundless open textbook. Learn vocabulary, terms, and more with flashcards, games, other study tools primary functions include the most important of money, which it is essential function money.
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VOICE NARRATOR: Water has many uses -- it has a high use value, as Adam Smith wrote -- but diamonds, a kind of mineral, have few uses, a low use value. Yet if two people exchanged them, a tiny diamond would buy a lot of water. This is called the exchange value. Money imitates the pattern of the exchange value, not the use value. Diamonds cost a lot more money. The price is the rate of the exchange. Let's say that a tiny diamond is worth 1000 gallons of bottled water. Then, in money, it might cost a thousand dollars for one diamond, and one dollar a gallon. All prices are listed in money, so money is called the unit of account. This makes it much easier to think about exchange values, and to make decisions.
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