How Money Works Explained in One Minute

before money was used people simply
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bartered person one gave person to some
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X and received let's say wood in return
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but for this transaction to happen
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person one has to want wood and person
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two has to want eggs if person one
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doesn't want wood and once a knife
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instead then person 2 has to first find
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person three who is willing to give him
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a knife for his work and then give the
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knife to person one so that he can
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receive person one's axe this is to wait
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too complicated therefore a common
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denominator was required something
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desirable that everyone accepts to act
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as a medium of exchange
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that's what money basically is a widely
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accepted medium of exchange people
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simply trade using money and don't have
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to resort to bother it some communities
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use cocoa seeds as money other
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communities use seashells others cattle
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and so on nowadays each country simply
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has its own currency let's assume
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seashells who uses money this means that
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instead of bartering person to pays
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person one let's say two seashells for
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his ex and when person one decides he
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needs a knife from person three he pays
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him in seashells as well because that's
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when everyone in the community uses