Money

economics · history · trade

Medium of exchange. Money lets you trade it for things you need instead of swapping one item directly for another. Long ago, people might have traded five chickens for a goat, but money makes it way easier.

Unit of account. Money gives everything a price so people can compare what things are worth. A banana might cost one coin, and a book might cost twenty coins, so you know which costs more.

Store of value. You can earn money today and keep it safe to spend later on something you want. It doesn't spoil like food or break easily, so it's a reliable way to save up.

Different forms. Money can be coins, paper bills, or even numbers in a bank account on a computer. What matters is that lots of people agree it has value and will accept it as payment.

Makes trade possible. Money lets people buy and sell goods across towns, countries, and even oceans because everyone trusts it the same way. Without money, the world would work very differently.