2. 7000 BC Barter and Favor Economy
People traded goods and services
directly with each other, using a
system called barter. This system was
inefficient, as it could be difficult to
find someone who had what you
wanted and was also willing to trade
for what you had.
3. 7000 BC - 3000 BC Commodity Money
Commodity money is money whose
value comes from a commodity of
which it is made. Commodity money
consists of objects having value or use
in themselves (intrinsic value) as well
as their value in buying goods. This is
in contrast to representative money,
which has no intrinsic value but
represents something of value such as
gold or silver, in which it can be
exchanged
4. 3000 BC Coins
The first coins were minted in Lydia
(modern-day Turkey) and China. Coins
were a major improvement over
commodity money, as they were
standardized in weight and purity,
making them easier to use and
exchange.
5. 1000 BC-1BC Coins primary form of money
Coins became the primary form of
money in many parts of the world
during this period. Different cultures
developed their own unique coin
designs, which often reflected their
history and values.
6. 1-1000 AC Paper money
Paper money was invented in China
around the 7th century AC. Paper money
was made from paper or silk, and it was
backed by the government's promise to
pay the bearer a certain amount of gold
or silver. Paper money quickly became
popular in China, and it eventually spread
to other parts of the world.
7. 1000 - 1500 AC Paper money in Europe
The first European paper money was
issued by the Kingdom of Naples in
1231. Paper money was initially
unpopular in Europe, but it eventually
gained acceptance as the economy
grew and trade expanded.
8. 1000 - 1500 AC Bank system
The banking system began to develop
during this period. Banks played an
important role in the economy by
lending money to businesses and
individuals. They also facilitated trade
by providing money transfer services.
9. 16th century stock market
The stock market was invented in
Antwerp, Belgium, in the 16th century.
The stock market is a place where
people can buy and sell shares of
companies. It allows companies to
raise capital and investors to buy
equity in companies.
10. 19th century Gold Standard
The gold standard became the global
monetary system in the 19th century.
Under the gold standard, the value of
money was pegged to the value of
gold. This means that the government
guaranteed to exchange a certain
amount of gold for any amount of
money. The gold standard helped to
promote economic stability and trade.
11. 19th century Central Banks
Central banks were established in
many countries during this period.
Central banks are responsible for
managing the money supply and
overseeing the financial system.
12. 1970s Gold Standard was abandoned
The gold standard was abandoned in the
1970s. This was due to a number of
factors, including the high cost of
maintaining the gold standard and the
increasing demand for gold from
non-monetary uses, such as jewelry.
13. 20th Century ATMs and Credit Cards
Credit cards and ATMs were
invented in the 20th century. These
inventions made it easier and more
convenient for people to access and
use money.
