[Lesson 8] Money and its functions

5,206 views

Published on

Our teamworking presentation homework for English subject.

Published in: Economy & Finance, Business
0 Comments
5 Likes
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total views
5,206
On SlideShare
0
From Embeds
0
Number of Embeds
7
Actions
Shares
0
Downloads
766
Comments
0
Likes
5
Embeds 0
No embeds

No notes for slide

[Lesson 8] Money and its functions

  1. 1. MONEY AND ITS FUNCTIONS
  2. 2. Definition Function Classification
  3. 3. What is MONEY ???
  4. 4. any object accepted as means of exchange within a society
  5. 5. Function of Money a medium
  6. 6. Function of Money a medium a measure
  7. 7. Function of Money a medium a measure a standard
  8. 8. Function of Money a medium a measure a standard a store
  9. 9. “Money is the matter of functions four A Medium, a Mesure, a Standard, a Store.” - William S. Jevon
  10. 10. Medium of Exchange People use money to exchange goods
  11. 11. Medium of Exchange Money makes transaction easier
  12. 12. Medium of Exchange Money removes the need for double coincidence of wants
  13. 13. Measure of Value Money measures values of goods and service in its unit of account.
  14. 14. Measure of Value “A unit of account is a standard numerical unit of measurement of the market value of goods, services, and other transactions.”
  15. 15. The value from consuming goods can be stored in several different ways, one of the best is money.
  16. 16. If you don’t want to spend your money now, you can do it later.
  17. 17. HOWEVER Inflation weakens the ability of storing value of money.
  18. 18. Standard of Deferred Payment Future payments for current purchases Buying now, paying later
  19. 19. Standard of Deferred Payment Inflation adjustment: interest rates
  20. 20. Classification of Money Commodity money
  21. 21. Classification of Money Commodity money Token money
  22. 22. Commodity Money Its value comes from what made of it
  23. 23. Commodity Money It is objects that have value in themselves as well as value in their use as money
  24. 24. Commodity Money Gold Silver Copper Shells Cattles Candy 
  25. 25. Token Money Another name: representative money
  26. 26. Token Money It doesn’t have real value in itself
  27. 27. Token Money Its value comes from either the commodity it stands for or from a government regulation or law.
  28. 28. Token Money Paper money Coins Banknotes Credit cards

×