Money serves three primary functions: as a medium of exchange, a unit of account, and a store of value. Throughout history, money has taken different forms, from commodity money like gold and silver coins to today's primarily digital currencies. A central bank like India's Reserve Bank of India regulates and controls the money supply through various tools to maintain stability in the financial system and economy. While important for achieving life goals, money should not be the sole focus in life as there are more meaningful things like love, humanity, and happiness.

1. It is All About MONEY
History, Regulation, Importance

2. What is MONEY
 Money is a commodity, widely accepted by general consent as
a medium of economic exchange.
 It is a medium for expressing the value of other commodity
produced by human labor.
 It travels person to person for facilitate trade.
 Nowadays it is principal measure of wealth.

3. Purpose of MONEY
 Money has three primary functions. It is a medium of exchange, a unit
of account, and a store of value.
1) Medium of Exchange: Money creates a widely acceptable medium of
goods and services exchange.
2) Unit of Account: It gives a standard numerical unit of measurement
of market value of goods, services, and other
transactions.
3) Store of Value: A stable money must be reliably saved, stored, and
retrieved.

4. History of MONEY
 To reach this current currency level money has passed through different
stages, We will discuss this with next few slides.
1. Era of Non-monetary exchange (Pre Historic Period):
I. Gifting and debt: A gift economy or gift culture is a mode of exchange where
valuables are not sold, but rather given without an explicit agreement for immediate or
future rewards. Social norms and customs govern giving a gift in a gift culture.
II. Barter: It is a system of exchange in which participants in a
transaction directly exchange goods or services for other goods or
services without using a medium of exchange, such as money. But
the capacity to carry out barter transactions is limited in that it
depends on a coincidence of wants.

5. 2. Era of commodity money (1000 BC –1970) : Commodity money is money whose value
comes from a commodity of which it is made. Commodity money consists of objects having
value. This is in way to representative money, which has little or no intrinsic value but
represents something of value, and fiat money, which has value only because it has been
established as money by government regulation.
Examples of commodities that have been used as media of exchange
include gold, silver, copper, salt, peppercorns, tea, decorated belts, shells, alcohol,
cigarettes, silk, candy, nails, cocoa beans, cowries and barley.

6. 3. Era of digital money (1971–present): Digital currency (digital money, electronic money
or electronic currency) is any currency, money, or money-like asset that is primarily
managed, stored or exchanged on digital computer systems, especially over the internet.
Types of digital currencies include cryptocurrency, virtual currency and central bank
digital currency, credit card, debit card etc.

7. How MONEY Comes From
• The central bank of a country decides how much money
will be printed and what will be the liquidity in economy.
• In our India RBI prints money keeping Gold and further
Sovereign securities in their reserve.

8. Regulation of MONEY
• Regulation of money is also known as financial regulation.
• It is a form of regulation , aiming to maintain the stability of the financial
system. This is generally maintained by a government organization.
• In our country RBI measures the money in the economy by
the Money Supply policy. It uses CRR,SLR, Repo Rate,
Reverse Repo Rate tools to control money supply in
market.

9. Why Money is important
• Money is definitely not everything, but money is something very important
without which one cannot survive.
• Money helps us achieve your life goals and supports the things we care about
deeply family, education, health care, charity, adventure and fun.
• Money is important because it can help us get the social status you want in life.
Money may be used as a means to live, but we should not live to make money, we
should always remember that there is much more to life than money like love
humanity etc. If money may help us be happy, the same money may make us feel
deprived once we feel we are short of it, so Spent wisely and be HAPPY.