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Money provides a convenient and shared way to value goods and services. There's an excellent description of this principle in Paul Samuelson's Economics textbook.
Without a common way to assign values, all transactions would involve barter. If you were a mechanic and needed to buy a shirt, you'd have to find a shirt-maker who was willing to trade the job of sewing you a shirt for your work in, say, changing his car's brake pads. It would be pretty unlikely that the shirt-maker would need new brakes at exactly the same time you needed a shirt AND who considered the swap to be an even trade, so the opportunities for commerce would be pretty limited.
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∙ 15y ago
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How do producers use money?
they use there money to buy stuff.
Which circuit should you use if you want to save money by using fewer parts?
to save money a use fewer parts i will use a parrallel curcuit
Which form of money do most countries use today?
Fiat money
What is money paid for the use of someone Else's money called?
Interest
What type of money has alternative use as an economic good?
commodity money
How do banks use money?
they use money for money
Can you use money?
anyone can use money
can i use the money for anything?
can i use the money for anything?
What did Columbus use for money?
What money did columbus use
Did Powhatan use money?
did Powhatan use money
What tpye of money do they use?
What type of money does WHO use?
Do they use real money in movies?
No they rarely ever use real money in movies.
What do they call money in Hawaii?
the dollar that we use here in the united states is the the amount as their money. so you can use the same money that we use you can use there to.
Did the Chinese use money?
yes they did use money, but not alot
What did Plymouth use for money?
trade. they didnt use money.
How do producers use money?
they use there money to buy stuff.
Is the amount of money paid or earned for the use of money?
Interest is earned or paid for the use of money
