What is Money?

Personal Finance

Money is an economic unit that functions as a generally recognized medium of exchange for transactional purposes in an economy. ... Money originates in the form of a commodity, having a physical property to be adopted by market participants as a medium of exchange.

Money is any good that is widely used and accepted in transactions involving the transfer of goods and services from one person to another. ... Commodity money is a good whose value serves as the value of money. Gold coins are an example of commodity money.

  •  What are the 4 types of money?
    In a Nutshell. The four most relevant types of money are commodity money, fiat money, fiduciary money, and commercial bank money. Commodity money relies on intrinsically valuable commodities that act as a medium of exchange. Fiat money, on the other hand, gets its value from a government order.
  •  What is money and its function?
  • Money is often defined in terms of the three functions or services that it provides. Money serves as a medium of exchange, as a store of value, and as a unit of account. The medium of exchange.