1. Exchange 12/ 02 / 09 Exchange of goods and services
Exchange place – markets
Need for exchange – satisfy needs and wants
Income – use to purchase goods and services
Bartering – exchange of goods for goods
Goods of similar value and what is needed

2. MONEY Medium of exchange Has value Used to pay for goods and services
Keeps value for long period
Before coins and notes – shells, salt and precious stones used
Central of country issue money
South African Reserve Bank
Financial Institutions – Banks
Electronic banking
Means of payment other than money – credit card, debit card, cheques etc

3. FOREIGN TRADE
Involves one country buying and selling goods and services to another
International trade – part of global economy
Foreign exchange – currencies of countries
Rates of exchange set each day – changes everyday
South Africa – based on gold standard