History Of Money
What is Money?
Money, in and of itself, has no actual value; it can be a shell, a metal coin, or a piece of paper. Its value is symbolic; it conveys the importance that people place on it. Money derives its value by virtue of its functions: as a medium of exchange, a unit of measurement, and a storehouse for wealth.
Money allows people to trade goods and services indirectly, it helps communicate the price of goods (prices written in dollar and cents correspond to a numerical amount in your possession, i.e. in your pocket, purse, or wallet), and it provides individuals with a way to store their wealth in the long-term.
The Transition From Bartering to Currency
Money–in some way, shape or form–has been part of human history for at least the last 3,000 years. Before that time, historians generally agree that a system of bartering was likely used.
Bartering is a direct trade of goods and services; for example, a farmer may exchange a bushel of wheat for a pair of shoes from a shoemaker. However, these arrangements take time.
Chinese Create Object That Resembles Modern-Day Coin
Sometime around 770 B.C., the Chinese moved from using actual usable objects–such as tools and weapons–as a medium of exchange to using miniature replicas of these same objects that had been cast in bronze. Due to impracticality–nobody wants to reach into their pocket and impale their hand on a sharp arrow–these tiny daggers, spades, and hoes were eventually abandoned for objects in the shape of a circle. These objects became some of the first coins.
Transition to Paper Currency
Around 700 B.C., the Chinese moved from coins to paper money. By the time Marco Polo–the Venetian merchant, explorer, and writer who travelled through Asia along the Silk Road between A.D. 1271 and 1295–visited China in approximately A.D. 1271, the emperor of China had a good handle on both the money supply and various denominations. In fact, in the place where modern American bills say, "In God We Trust," the Chinese inscription at that time warned: "Those who are counterfeiting will be decapitated."
Okay, that is the final lesson for our topic about History of Money. More and more interesting topic will be discussed in the future. Stay Tune~😎
Sign Up for our Newsletter and receive a Mysterious Gift by clicking this link: https://bryanandrobertpublishing.com
#money #wealth #currency
Money, in and of itself, has no actual value; it can be a shell, a metal coin, or a piece of paper. Its value is symbolic; it conveys the importance that people place on it. Money derives its value by virtue of its functions: as a medium of exchange, a unit of measurement, and a storehouse for wealth.
Money allows people to trade goods and services indirectly, it helps communicate the price of goods (prices written in dollar and cents correspond to a numerical amount in your possession, i.e. in your pocket, purse, or wallet), and it provides individuals with a way to store their wealth in the long-term.
The Transition From Bartering to Currency
Money–in some way, shape or form–has been part of human history for at least the last 3,000 years. Before that time, historians generally agree that a system of bartering was likely used.
Bartering is a direct trade of goods and services; for example, a farmer may exchange a bushel of wheat for a pair of shoes from a shoemaker. However, these arrangements take time.
Chinese Create Object That Resembles Modern-Day Coin
Sometime around 770 B.C., the Chinese moved from using actual usable objects–such as tools and weapons–as a medium of exchange to using miniature replicas of these same objects that had been cast in bronze. Due to impracticality–nobody wants to reach into their pocket and impale their hand on a sharp arrow–these tiny daggers, spades, and hoes were eventually abandoned for objects in the shape of a circle. These objects became some of the first coins.
Transition to Paper Currency
Around 700 B.C., the Chinese moved from coins to paper money. By the time Marco Polo–the Venetian merchant, explorer, and writer who travelled through Asia along the Silk Road between A.D. 1271 and 1295–visited China in approximately A.D. 1271, the emperor of China had a good handle on both the money supply and various denominations. In fact, in the place where modern American bills say, "In God We Trust," the Chinese inscription at that time warned: "Those who are counterfeiting will be decapitated."
Okay, that is the final lesson for our topic about History of Money. More and more interesting topic will be discussed in the future. Stay Tune~😎
Sign Up for our Newsletter and receive a Mysterious Gift by clicking this link: https://bryanandrobertpublishing.com
#money #wealth #currency
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