2. Classif icat ion of
Money
I .Full-bodied money
I I .Repr esent at ive f ull-bodied
money
3. I .Full-bodied money
• Full-bodied money is a money whose
value as a commodit y f or non-monet ar y
pur poses is a gr eat as it s value as
money.
• The pr incipal f ull-bodied money in
moder n monet ar y syst ems has been
coins of t he st andar d met al when a
count r y is on a met allic st andar d: a gold
st andar d, a silver st andar d or a
bimet allic st andar d using gold and silver .
4. Full-bodied coins wer e
t ypically issued by
gover nment s. Thr ee st eps
wer e involved:
1. Def ine t he gold value of t he monet ar y
unit .
2. At t he st ipulat ed pr ice, pur chase all
t he met al t hat is of f er ed and coin it
wit hout limit and vir t ually wit hout
char ge.
3. Per mit t he melt ing of coins t o get
gold f or non-monet ar y uses and st and
r eady t o sell t he ent ir e commodit y
5. I I .Repr esent at ive f ull-bodied
money
• Repr esent at ive f ull-bodied money is
usually made of paper . I t is in
ef f ect a cir culat ing war ehouse
r eceipt f or f ull-bodied coins or
eit her equivalent in bullion.
• I t “r epr esent s in cir culat ing an
amount of met al wit h a commodit y
value equal t o t he value of t he
money."
6. Types of Money Issued in the
Philippines
Types Money Issued
Standard Money Central Banks Notes
Representative Money Philippine Treasury Certificates
1903
Convertible Representative Money Philippine Treasury Certificates
1903
Fiat Money (Old Concepts) Japanese War Notes
Fiat Money ( Current Concept) Bangko Sentral Notes
Token Coins Metallic Coins (Php .50- Php
10.00)
Credit Money Bangko Sentral Notes
