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Where Did the Concept of Money Originate and Why Did We Adapt It?

Nyamweya is a global researcher with many years of experience on practical research on a diversity of topics

Money exchanging hands

Money exchanging hands

Money is among the most pervasive social organizations but it can be the mysterious. The money history is the story of an idea, technology and power on the means of organizaing communities. Over several centuries, human communities are under the development of several means for the exchanging and valuing of commodities for the storage of wealth. The money origin entails three various theoretical perspectives where money is a state, commodity and credit. In order to have an understanding of all the money aspects, it is important to understand the economic implications and historical relevance of all the views. There are various theories that explain the concept of money origin and how the human beings adapted into them. Some of the theories that explain and criticize are fantasy theme, metaphor, Neo-Aristotelian and pentadic. This essay will discuss the theoretical criticism behind the concept of money origin and the adaptation of the human beings by use of artifacts and analysis of the theory.

There are various artifacts of wealth and as it is well known, money is the driving force for wealth. These artifacts are bonds and stocks, derivatives and futures. However, the ones that people are familiar with are the digital money, coins and paper money. However the main focus in this essay is paper money. In the past, people got tired of carrying silver and gold coins everywhere hence they opted for paper money. However, paper money is the most applicable in the current times because it has value. Money is considered as both an exchange method and a good. In regards to being a good, it has supply limitation hence having a high demand. It is of high demand due to the fact that individuals can use it in the purchasing of services and goods. The money system operates on mutual belief sets as much as people believe in the money value and the possibility of the system working in future as well. For instance, in the United States of America, faith is supported and endangered by the federal state. In the nation, the money may at times lackj value, but people trust and use it due to its federal backing. It is impossible for the money to find a replacement in the near future because of the well-known inefficiencies of theb barter scheme where services and goods are exchanged for others. If anything, the only thing that might happen in the future is switching up off currencies like transitioning from an old to anew currency. For instance Europian countries changed to Euro hence the disappearance of the currencies will be difficult. However, in the current times the money is being changed into vbonds and stocks, bitcoin and many other forms. However, the primary artifacts: paper money and coins remain to be the most effective ones and no matter what other forms appear, they will still be available and lasting. Moreover, the paper money has advantages over the digital money, coins and the bonds and sticks. The primary advantage is that the digital money at times the services can collapse hence disadvantaging the clients, in the case if the coins they are too heavy and noisy plus less value, In the bonds and stocks sector, they have to be transferred to actual money for withdrawal. Therefore, money paper is the most effective money artifact.

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