3-TASK 1
MONEY, FOREIGN EXCHANGE, FINANCE.
Name: Christofer Alejandro Rodriguez
Ortega
Nua:116189
Watch the video, answer the following
questions.
1.
How are money and currency defined?
Money: It
can be a set of coins and banknotes that are used as a legal means of payment
Currency: currency is a measure of exchange for its legal or intrinsic value
and as a unit of account
2.
What are the differences between currency and
money?
Currency
is an instrument that becomes money as long as the law allows it, money can be
said to be a commodity that fulfills the function of value for the purchase of
goods
3.
What are their most important characteristics?
divisible,
fungible and durable
4.
What is a Fiat currency?
Legal
tender money that is issued and backed by a government
5.
What are its characteristics?
This currency is backed by the government to be able to rescue the banks
from crisis
6.
What is money and currency used for?
to
transact or purchase a good
7.
What does “store of value” refer to?
It is an
asset that has a stable value in the market
8.
What was the currency used in the past?
gold and
silver
9.
What is the most beautiful way of money?
Gold
10.
What is a “solving system”?
It is a
form of which the government has a control of the printing of money and
stabilize its value.
11.
What happens when governments expand the currency
supplies?
Inflation
begins to occur
12.
What is barter?
is an exchange of goods of value between two or more people
13.
What is Quantity of Easy?
Currency
creation
14.
What is the tendency of QEs around the world?
it begins
to generate more foreign currency to solve possible crises with the banks but
in the long run it generates inflation and prices rise
Write a
final reflection on the topic, mentioning what were the most important aspects
you learned.
As the government deceives us, imposes its
currency, avoids gold and silver, between government and bank are protected
before economic crises that in the end people are affected
This topic seemed very important to me, because it tells us the history and the meaning of both coins and money, which are basic tools in our economy.
ResponderEliminarThanks for sharing. (:
Before reading about the article, I was not very clear about the difference between money and currency, now I know it! Finance is always interesting, i love it
ResponderEliminarI really liked this video but i dont know how to feel about the part where it's mention that gold can comeback as a regular currency.
ResponderEliminarIt is interesting to see and recognize the way in which the way we exchange goods and services has evolved, and to consider that some things retain their original value, and that the time and labor we provide is the most valuable thing we have is impressive. Thank you for sharing c:
ResponderEliminar
ResponderEliminarI have a disagreement with what you think since I do not consider that the bank and the government are allies since the bank can protect itself from anything that happens even if the government can submit it.