Currency is defined as a medium of exchange, a unit of account, its portable, durable, divisible and fungible. And money is defined as a container to store economic energy until people are ready to deploy it.
What are the differences between currency and money?
Money is a store of va
lue and it maintains over a long period of time while currency can be affected.
lue and it maintains over a long period of time while currency can be affected.
What are their most important characteristics?
That they are a unit of account, portable, durable, divisible and fungible but money can store of a value for a long period of time.
What is a Fiat currency?
The currency that are not backed by silver or gold
What are its characteristics?
It is just paper without value and has not intrinsic value and doesn't have durability
What is money and currency used for?
It’s a representation of the work that people do.
What does “store of value” refer to?
It refers to an asset that keeps its value on the time
What was the currency used in the past?
Gold and silver
What is the most beautiful way of money?
Gold
What is a “solving system”?
The government maintains control of the money that is produce in a country
What happens when governments expand the currency supplies?
Inflation
What is barter?
It is an exchange of goods that are worth the same.
What is Quantity of Easy?
Currency creation
What is the tendency of QEs around the world?
It could be seen that in a couple of years prices will rise.
Write a final reflection on the topic, mentioning what were the most important aspects you learned.
I really liked the video because it gives a brief history of what money and currency meant and how over the years this has been changing despite the fact that the same system has been managed and how globalization can have good consequences such as bad consequences.
Currency issues were unknown to me, I knew a little about inflation but generally in finance issues I am not very familiar so I found the solving system very interesting, something that I was completely unaware of and did not know that it was about what the government should maintain control of the money it produces because it assumed that it was the bank that handled this issue.
I also really enjoyed the video because it shows how the process of currency and money began and also how has been historically changing.
ReplyDeleteIt is really important to know the differences between a currency and money, in addition to knowing the real value of what we own. As well as knowing the evolution of the way we exchange goods and services.
ReplyDeletei like your definitions, becausea are very simple to understand.
ReplyDelete