Money
« Mo
Money
Economics Economies by region Africa · North AmericaSouth America · AsiaEurope · OceaniaOutline of topicsGeneral classificationsMicroeconomics · MacroeconomicsHistory of economic thoughtMethodology · Heterodox methodsTechniquesMathematical · EconometricsExperimental · National accountingFields and subfieldsBehavioral · Cultural · EvolutionaryGrowth · Development · HistoryInternational · Economic systemsMonetary and FinancialPublic and Welfare economicsHealth · Labour · ManagerialInformation · Game theoryIndustrial organization · LawAgricultural · Natural resourceEnvironmental · EcologicalUrban · Rural · RegionalListsJournals · PublicationsCategories · Topics · EconomistsEconomic ideologies Anarchist · CapitalistCommunist · CorporatistFascist · GeorgistIslamic · Laissez-faireMarket socialist · MercantilistProtectionist · SocialistSyndicalist · Third WayOther economies Anglo-Saxon · FeudalGlobal · Hunter-gathererNewly industrialized countryPalace · PlantationPost-capitalist · Post-industrialSocial market · Socialist marketToken · TraditionalInformation · Transition Business and Economics PortalThis box: view • talk • editMoney is anything that is generally accepted as payment for goods and services and repayment of debts. The main uses of money are as a medium of exchange, a unit of account, and a store of value. Some authors explicitly require money to be a standard of deferred payment. The dominant form of money is currency.The term "price system" is sometimes used to refer to methods using commodity valuation or money accounting systems.The word "money" is believed to originate from a temple of Hera, located on Capitoline, one of Rome's seven hills. In the ancient world Hera was often associated with money. The temple of Juno Moneta at Rome was the place where the mint of Ancient Rome was located.. The name "Juno" may derive from the Etruscan goddess Uni (which means "the one", "unique", "unit", "union", "united") and "Moneta" either from the Latin word "monere" (remind, warn, or instruct) or the Greek word "moneres" (alone, unique).//Economic characteristicsMoney is generally considered to have the following characteristics, which are summed up in a rhyme found in older economics textbooks: "Money is a matter of functions four, a medium, a measure, a standard, a store." That is, money functions as a medium of exchange, a unit of account, a standard of deferred payment, and a store of value.There have been many historical arguments regarding the combination of money's functions, some arguing that they need more separation and that a single unit is insufficient to deal with them all. One of these arguments is that the role of money as a medium of exchange is in conflict with its role as a store of value: its role as a store of value requires holding it without spending, whereas its role as a medium of exchange requires it to circulate. Others argue that storing of value is just deferral of the exchange, but does not diminish the fact that money is a medium of exchange that can be transported both across space and time. 'Financial capital' is a more general and inclusive term for all liquid instruments, whether or not they are a uniformly recognized tender.Medium of exchangeMoney is used as an intermediary for trade, in order to avoid the inefficiencies of a barter system, which are sometimes referred to as the 'double coincidence of wants problem'. Such usage is termed a medium of exchange.Unit of accountA unit of account is a standard numerical unit of measurement of the market value of goods, services, and other transactions. Also known as a "measure" or "standard" of relative worth and deferred payment, a unit of account is a necessary prerequisite for the formulation of commercial agreements that involve debt.Divisible into small units without destroying its value; precious metals can be coined from bars, or melted down into bars again.Fungible: that is, one unit or piece must be perceived as equivalent to any other, which is why diamonds, works of art or real estate are not suitable as money.A specific weight, or measure, or size to be verifiably countable. For instance, coins are often made with ridges around the edges, so that any removal of material from the coin (lowering its commodity value) will be easy to detect.Store of valueTo act as a store of value, a commodity, a form of money, or financial capital must be able to be reliably saved, stored, and retrieved — and be predictably useful when it is so retrieved. Fiat currency like paper or electronic currency no longer backed by gold in most countries is not considered by some economists to be a store of value.Market liquidityLiquidity describes how easily an item can be traded for another item, or into the common currency within an economy. Money is the most liquid asset because it is universally recognised and accepted as the common currency. In this way, money gives consumers the freedom to trade goods and services easily without having to barter.Liquid financial instruments are easily tradable and have low transaction costs. There should be no — or minimal — spread between the prices to buy and sell the instrument being used as money.Types of moneyIn economics, money is a broad term that refers to any financial instrument that can fulfill the functions of money (detailed above). Modern monetary theory distinguishes among different types of monetary aggregates, using a categorization system that focuses on the liquidity of the financial instrument used as money.Commodity moneyCommodity money value comes from the commodity out of which it is made. The commodity itself constitutes the money, and the money is the commodity. Examples of commodities that have been used as mediums of exchange include gold, silver, copper, rice, salt, peppercorns, large stones, decorated belts, shells, alcohol, cigarettes, cannabis, candy, barley, etc. These items were sometimes used in a metric of perceived value in conjunction to one another, in various commodity valuation or Price System economies. Use of commodity money is similar to barter, but a commodity money provides a simple and automatic unit of account for the commodity which is being used as money.Representative moneyRepresentative money is money that consists of token coins, other physical tokens such as certificates, and even non-physical "digital certificates" (authenticated digital transactions) that can be reliably exchanged for a fixed quantity of a commodity such as gold, silver or potentially water, oil or food. Representative money thus stands in direct and fixed relation to the commodity which backs it, while not itself being composed of that commodity.Credit moneyCredit money is any claim against a physical or legal person that can be used for the purchase of goods and services. Credit money differs from commodity and fiat money in two ways: It is not payable on demand (although in the case of fiat money, "demand payment" is a purely symbolic act since all that can be demanded is other types of fiat currency) and there is some element of risk that the real value upon fulfillment of the claim will not be equal to real value expected at the time of purchase.This risk comes about in two ways and affects both buyer and seller.First it is a claim and the claimant may default (not pay). High levels of default have destructive supply side effects. If manufacturers and service providers do not receive payment for the goods they produce, they will not have the resources to buy the labor and materials needed to produce new goods and services. This reduces supply, increases prices and raises unemployment, possibly triggering a period of stagflation. In extreme cases, widespread defaults can cause a lack of confidence in lending institutions and lead to economic depression. For example, abuse of credit arrangements is considered one of the significant causes of the Great Depression of the 1930s.The second source of risk is time. Credit money is a promise of future payment. If the interest rate on the claim fails to compensate for the combined impact of the inflation (or deflation) rate and the time value of money, the seller will receive less real value than anticipated. If the interest rate on the claim overcompensates, the buyer will pay more than expected.The process of fractional-reserve banking has a cumulative effect of money creation by banks.Fiat moneyFiat money is any money whose value is determined by legal means. The terms fiat currency and fiat money relate to types of currency or money whose usefulness results not from any intrinsic value or guarantee that it can be converted into gold or another currency, but instead from a government's order (fiat) that it must be accepted as a means of payment. Fiat money is created when a type of credit money (typically notes from a central bank, such as the Federal Reserve System in the U.S.) is declared by a government act (fiat) to be acceptable and officially-recognized payment for all debts, both public and private. Fiat money may thus be symbolic of a commodity or a government promise, though not a completely specified amount of either of these. Fiat money is thus not technically fungible or tradable directly for fixed quantities of anything, except more of the same government's fiat money. Fiat moneys usually trade against each other in value in an international market, as with other goods. An exception to this is when currencies are locked to each other, as explained below. Many but not all fiat moneys are accepted on the international market as having value. Those that are trade indirectly against any internationally available goods and services . Thus the number of U.S. dollars or J
.htmOver the past couple of years blogging has become a way of life for many people world wide. This is for renters what the mortgage deduction is for home owners...com/A lot of folks are blogging these days.Just put your clickbank "username" and instantly access to all.. IS JUST ONE TIME.. WITHOUT HAVE TO PUT YOU USERNAME 1 BY 1.Come on and get the MultiClicker right here in my Blog.optimization is mission-critical and a worthwhile investment when approached with tested and proven techniques.Make your subscripcion to the different Bux programs and start earning money!Them more friend you find more clicks you will generate with the MultiClicker!çGood Luck!This is a Hub Page with money saving fashion tips for the new year! This Affiliate Program has truly changed my life I have discovered a way for anyone to make money using simple Affiliate Programs. Everyday I see people around me asking questions and not finding answers.Money from a proposed settlement in the Sprint ETF class action lawsuit is up for grabs for just about anyone who entered into a wireless contract with Sprint between July 1999 and December 2008. Millions in fact.this church offers a money-back guarantee for all of it s
Even more about Money
Money
CNN, FORTUNE, MONEY, BUSINESS 2.0 and Fortune Small Business magazines offer business news and financial market coverage updated throughout the day, along with stock quotes ...
CNN Money
MSN Money is the comprehensive source for your money and personal finance needs. Read business news, get stock quotes, research investments, track your portfolio and manage your ...
Personal Finance and Investing - MSN Money
Free real-time streaming stock quotes. Customizable java-powered streamer lets you monitor your portfolio throughout the trading day.
Money.net | The Leading Provider of Online Investor Subscription ...
MSN Money provides business news, stock market data, and product comparison services that empower users to make the best financial decisions.
Money news and personal finance advice | MSN Money | MSN UK
The American Numismatic Association (ANA) homepage to help all numismatists, coin collectors with their hobby. We strive to further the educational impact and outreach of this ...
Comment:
