Money, Three

Any object or substance that serves as a medium of exchange, a unit of account, and a store of wealth is money. To be convenient, however, money should have several qualities. It should come in pieces of standard value so that it does not have to be weighed or measured every time it is used. It should be easy to carry so that people can carry enough money to buy what they need. Finally, it should divide into units so that people can make small purchases and receive change.

In the past, people used beads, cocoa beans, salt, shells, stones, tobacco, and other things as money. But above all, they used such metals as copper, gold, and silver. These metals could be easily shaped into convenient, durable money.

Today, most money consists of paper. The paper itself is of little value, but it is accepted in exchange. People accept pieces of metal or paper in exchange for work or goods for only one reason: They know that others will take the same metal or paper in exchange for the things they want. The value of money therefore results from the fact that everyone will accept it as payment.

Making Money

25. Which is easier, making money or spending money?

26. What are some ways to earn money? How can people become middle-class (or rich)

27. Even if everyone has similar IQs and abilities, there will always be a wealth gap or inequality that follows the 80-20, 90-10 or 97-3 Rule. Do you agree? Why is that?

28. To be financially successful, it’s just as important to save money as it is making money.

29. Many people play the lottery. True or false? People who win the lottery always live happily ever after. Yes or no?

Other

30. What is counterfeit money? How do they operate? How do you safeguard against it?

31. What percent of the economy is the “black economy” or “grey economy” or “shadow economy”? Give examples.

32. If my best friend won $1 million on the lottery,

33. Is gambling common? What do people gamble on?

34. What will happen to money in the future?