Functions of Money

1aExamples of commodities that have been used as mediums of exchange[->0] include gold[->1], silver[->2], copper[->3], peppercorns[->4], large stones (such as Rai stones[->5]), decorated belts[->6], shells[->7], alcohol[->8], cigarettes[->9], cannabis[->10], candy[->11], barley[->12], laundry detergent, etc. These items were sometimes used in a metric of perceived value[->13] in conjunction to one another, in various commodity valuation or price system[->14] economies.A key feature of commodity money is that the value is directly perceived by the users of this money, who recognize the utility or beauty of the tokens as they would recognize the goods themselves.

b 2)because a credit card purchase is a loan, a promise to pay back in the future. it does not fall under the definitions of money (m1,2 3)

Credit cards work in the exact same manner as this loan. If you buy the game using a credit card, the credit card company will pay the shopkeeper today and you will have an obligation to pay the credit card company when your credit card bill comes in. This obligation to the credit card company does not represent money. The money part of the transaction between you and the credit card company only comes into play when you pay your bill.

c

Money is an expression of individual trust in the collective economic stability that is security.

Money is created by man trusting another and the collectivity. TRUST creates money. TRUST is MONEY. The trust can be extended to a greater number of individuals and the measure of trust can be raised.

[->0] - http://en.wikipedia.org/wiki/Medium_of_exchange

[->1] - http://en.wikipedia.org/wiki/Gold

[->2] - http://en.wikipedia.org/wiki/Silver

[->3] - http://en.wikipedia.org/wiki/Copper

[->4] - http://en.wikipedia.org/wiki/Black_pepper

[->5] - http://en.wikipedia.org/wiki/Rai_stones

[->6] - http://en.wikipedia.org/wiki/Belt_(clothing)

[->7] - http://en.wikipedia.org/wiki/Seashell

[->8] - http://en.wikipedia.org/wiki/Alcohol...