What is money?
Money is a representation made up to stand for an amount of work, some sort of effort or material. It is a powerful symbol and means different things to different people. Its value depends on the country it was created in, and what mankind puts onto it. We assign value to our money based on our own system of trade and value and the state of our economy.
It can be precious metals like gold or silver or copper, or like in many of modern societies, it can be paper units. It became a standard of trade instead of using bartering because it was easier. Plus, it was hard to determine, for instance, if a cow equaled a horse, or a barrel of grain equaled a barrel of apples, so they came up with the other form of today’s money instead.
Coins came about around the Middle Ages and was made by metalsmiths. Some places put aside gold to represent value to paper currency, but in today’s society the paper currency really isn’t baked by anything but the country’s reputation, and inflation can easily cause it to become worthless in a bad economy.
Alexander Hamilton is one of the people responsible for the banking system in the US, so in the US we can attribute him to the way our monetary system works in some cases still yet today. This is also where taxes by the government started to happen and got more standardized.
All in all, the way money is today, it is in a sense not as valuable as in the past because it is all based on reputation and not backed by gold or other value, so it is a dangerous situation and in some countries this has caused serious inflation and economic woes for the citizens.
What is money in youre opinion??
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