The Characteristics and Functions of Money
Watch all the videos at www.goldmoney.com Marion Mueller (AEMP), in collaboration with the GoldMoney Foundation, visits the Bundesbank’s Geldmuseum (Money Museum) in Frankfurt and explains the many different kinds of money that have existed throughout history: from herd animals, seashells, salt, tobacco, gold and other metal coins, to present day fiat money. She explains all the characteristics which make good money: scarcity, durability, homogeneity, divisibility and transportability. It should also be easy to store and difficult to falsify.
Functions of money or What is money
Functions of money
Chapter 18 Clip 1 Functions of Money
In this movie clip, I discuss the 3 major functions of money, which are: Medium of Exchange, Store of Value, and Unit of Account. I also discuss why it isn’t a good idea to have a barter economy (an economy where there is no money). Moreover, I discuss the dangers of hyperinflation (where most prices in a country are rising at a very rapid rate).