8th Form: Topic "The World of Money"

THE WORLD OF MONEY

The idea of having such a thing as money is one of the most fascinating ever developed by man. It makes possible exchange and trade as we know. We use money every day to pay for things we buy.

Thousands of years ago money was not used. In primitive societies a system of barter was used. This meant that if a man wanted something he didn’t have, he had to find someone who had it. Then he had to offer him something in exchange. In time, certain things came to be used as money because practically everyone would take these things in exchange: shells, salt, grain, tobacco and even cattle. These things were not easy to store or carry about.

So, people began to use coins. First they were used in China, then by ancient Greeks as early as 600 BC. They were first made of either gold or silver and stamped with the mark of the government or the ruler of the country for which they were made. The stamp also showed how much each coin was worth.  Later, people began to use coins made of cheaper metals and paper money. This sort of money is known as cash. There is also another kind of money, which includes cheques, credit cards and traveller’s checks.  It no longer mattered that the money itself had no real value because it was backed by the government and banks.

Speaking about banks, life in the modern society is unthinkable without them and their services. Banks perform various roles in the economy and are always critical to the financial system. A lot of people go to the bank to borrow money, so one of the functions of the bank is to loan it. When the bank lends you money, it asks for guarantees and checks your credit. Later, you will have to pay the money back on time trying not to get yourself into debt. Of course, banks charge some money for their services.

Another function of banks is to save money. One can open a current or a savings account, fill in a form, sign it up, pay in a certain sum of money – and become an account holder. When need be, you withdraw the money from the bank, getting some per cent interest. Banks provide you with a bank card, a cheque book etc. Some of other things that a bank can do for you are: change and exchange your money, sell your traveller’s cheques, cash your cheques, you can also use bank’s cash points.

To sum it all up, let me remind you of the four main things that money does for us. First, money makes it possible to exchange one’s work for something one wants. You earn money and then spend it on what you need. (Probably the best way to spend your money is to go shopping. A modern shopping centre often looks like a city under one roof. There are department stores, theme parks with rides, amusements and games, cinemas, restaurants, cafés, banks, opticians, hair and beauty salons in them etc.)

Second, money is a “yardstick of value”. This means it may be used to measure and compare the values of various things.

Third, money is a “storehouse of value”. It is easier to store money than to store things, especially perishables. You can’t store up, say, tomatoes for a long time because they can spoil, but if you sell them, you can store up the money for the future use.

Fourth, money serves as a “standard for future payments”, you use money as a form in which later payments can be made.

The last but not the least, the Bible says: “The love of money is the root of all evil”. It means that people who love money are greedy and self-interested, the kind of person I personally wouldn’t like to be. To my mind, we should take money as a means of self-development and the instrument of paying for the necessities and comforts of this life. “Can’t buy me love”, sang the Beatles about money, but it can provide me with a lot of important things.

With the help of Dasha Vanifatyeva and Dan Klochkov, 8A