Money

Before the first money around 3000 years ago in China, Barter was the system of exchange by which goods or services are directly exchanged for other goods or services. Barter economies traded in commodities, which greatly limited the ability to store value.

Historical mediums of exchange have included… Bullion (gold, silver) Sea Shells Stones Spices (salt, pepper) Animal skins (deer skin=buck)

Money is a medium of exchange that allows for voluntary transfers without a barter system.

Today most money is represented through the medium of fiat money given value by government decree and consumer trust.

Other forms of money that are mediums of exchange today include checks, debit cards, credit cards, coupons, gift cards and food stamps. These forms of money have the characteristic of liquidity (transferred into cash or goods easily)

Money is a measure of value which allows for the estimation of a product’s or service’s worth.

Money is a store of value which allows for long-term saving, investment and retrieval in the future.