Concepts
- Definition of Money
- Functions of Money
- Medium of Exchange
- Store of Value
- Unit of Accounting
- Characteristics of Money
- Measures of the Money Supply (M’s)
- M1
- M2
- M3
- Bonds (Government/Treasury Securities)
- Stocks
- Liquidity
- Time Value of Money
- Present Value
- Future Value
Overview
Money is one of the biggest technological advances in the history of trade. Before money existed people bartered, or traded one good or service for another. Unfortunately, bartering was extremely inefficient for the speed of transactions and for assigning value to goods and services. Thankfully, in the seventeenth century, money started to catch on and trade became much more efficient. In this lesson, we learn all about money. It’s definition, the 3 functions of money, and the characteristics of money. We also take a look at how to measure the money supply using the M1, M2, and M3. Finally, we learn about other financial assets like bonds and stocks and how to use the concept of the time value of money to assess present and future values.
Materials
Lecture
Financial Markets and Goods Markets
Quiz
Reminders Before Taking Quiz:
- When you are asked “What Period?” please only put the one digit number of your class period. For example, if you have this class 1st period, just put 1 in the box for your response.
- The password to login is CASE SENSITIVE, so please be conscious of this as you type in your password.
- If it appears to be timing out when you login, try the following troubleshooting steps:
- Restart your phone (hard shut down and turn it back on)
- Turn off WiFi (access quiz through your data carrier)
- Click the “Classroom Link” provided in the initial email. Login, and then select this quiz from the list.
- If you lost the email, you can access the “Classroom Link” by clicking here. Enter your email address and password to log in and PLEASE BE SURE TO SELECT THE PROPER QUIZ!!!
- If you take the quiz once and would like to take it again to get a better grade, sometimes it will disappear from the “pending” section. If that’s the case, click the “completed” section and select the quiz you want to retake.