Money

Everyone uses money.We all need money.Every day we all think about money and how to earn more money.

 Now a day's we cannot live without money,The money is that much of important thing in our life now.

  Money is the way we get the things we need and want.As long people believe in money.The central Bank issue the currency for fulfill their needs.

Money is an item record that is generally accept as payment for goods and services and repayment of debits in a particular country or socio economic context.This is the definition of wikipedia about money.

Now we will see the definition of dictionary about money.Any circulating medium of exchange,including coins, paper money, and demand deposits.

money refers to any commodity that can be used as a medium of exchange , a unit of account, a store of value and a standard for postponed payements.(Robinson & Hamil)

However , for the purpose of economics, money actually has three distinct uses, some of which are not adequately coverd in the above definition.

These are:-

                        A medium of Exchange

         A unit of Account

           A store of value

    By these definitions  money is a main medium of exchange.When money is used to intermediate the exchange of goods and services, it is functioning as a medium of exchange.

Before the development of using money  people would barter to obtained the goods and services they needed. Basically two people each come to an agreement and they trade their goods. So on that time it was a big problem.To solve this problem  came commodity money.After the  invention of money exchanging is not that much of difficult thing and it became a easiest way to exchange.

In this world there are so many  unites to measure the money. The measurements are different to country to  country.In Sri Lanka we are using Rupees. Dollars are the valuable currency unit.The value of Dollar is higher than other currencies. Euro is the currency  is specially made for European countries .