LIST 10 FUNCTIONS OF MONEY
http://en.wikipedia.org/wiki/Money
Definition of consumer
is a buyer
Sure! Here is a list of 10 functions of money:
1. Medium of Exchange: Money acts as a commonly accepted intermediary in transactions, allowing goods and services to be bought and sold.
2. Unit of Account: Money serves as a unit for measuring value, providing a common standard for pricing and evaluating different goods and services.
3. Store of Value: Money can be saved or stored for future use, enabling individuals to preserve their purchasing power over time.
4. Standard of Deferred Payment: Money allows for the settlement of debts or obligations in the future, providing a reliable means of payment over time.
5. Transfer of Value: Money facilitates the transfer of wealth from one person to another, allowing for the exchange of assets or property.
6. Measure of Value: Money helps determine the worth of an item or asset, making it easier to compare and evaluate different goods or services.
7. Risk Management: Money enables individuals to hedge against uncertain events or risks by accumulating savings or purchasing insurance.
8. Inducement to Productivity: Money acts as an incentive for individuals and businesses to work or produce, as it represents a reward for their efforts.
9. Economic Decision Making: Money plays a crucial role in economic decision making, influencing individuals' choices regarding consumption, savings, investment, and allocation of resources.
10. Medium of Information: Money carries information about the economic conditions and relative value of goods and services, enabling market participants to make informed decisions.
To come up with these functions, I drew upon the field of economics and the foundational work of economists who have studied the nature and role of money in economies. Understanding the functions of money is essential to grasp its significance in economic systems.