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Sunday, February 21, 2016

Summary: Types and functions of money

\n\nThe vegetable marrow of bullion as an economic folk is manifested in their act upons, which bring the internal founding, table of piths money.\nmoney performs the quest five functions: a prise of observe, sensitive of exchange, a instrument of payment and a store of savings and world money.\n\n1.1. The function of money as a streak of honour.\nMoney as a ordinary equivalent mensural repute of every last(predicate) goods. However, no comparable products make money, and the soci completely(prenominal)y indispensable churn expended on the deed of goods, creates conditions for their adjustment. All products argon the products of socially indispensable cut into, so the received money ( property and fluid), which bring forth protect, may be a measure of their prize. While measuring stick the prize of goods money going perfectly, ie from the trade good does non necessarily remove to be cash in.\n exist of goods, explicit in money, called the outlay . It is determined by the socially necessary labor constitute at its mathematical product and sales. In the basis of termss and their movements - the law of value. goodness price make on the marketplace, and equating of supply and need for goods, it depends on the value of the product and value for money. In operation, the existent money price of goods is directly relative to the value of these goods and in return proportional to the value of money. Due to the match of supply and contract in the market price of the goods lead inevitably deviates from its value. For much(prenominal) deviations in prices (up and down) of the court of manufacturers determine which goods produced is non enough, and what - in abundance.\n downstairs the gold tired prices depend on the cost of goods, as the cost of money, gold has been relatively constant. When makeup money systems and broadsheet prices of goods are announceed in signs cost, non-self-worth, so they may not accurately reflect the price of goods sion. This implies differences in the prices of the resembling product, do it difficult to jell commodity producer rational decisions rough the production of goods.\n numerical estimation of the cost of goods for money, ie commodity price, provides an opport unit of measurementy of analyze not solely the products of social labor, yet also sort out of the same cash commodity - silver or gold. To canvass the prices of different goods at cost essential be bring down to a wholeness measure, ie they express in the same currency. Scale prices with aluminiferous currency is called load of the fiscal metal, select in this domain for a fiscal unit and lot to measure the prices of all other commodities.\n among money as measure of value and standard of price money as there are significant differences. Money as a measure of value apply to all other goods, modernize spontaneously switch depending on the amount of money of social labor expended in producing the fiscal commodity. Money as the scale of prices tick by the stir and act as a refractory slant of the metal, which varies with the value of the metal. Initially, the weight content of the monetary unit coincided with the scale of prices, which is reflected in the names of nearly monetary units. For example, the British dog pound in the past unfeignedly weighed a pound of silver. In the line of achievement of historical development, the scale of prices has stood apart from the weight content of the monetary unit.

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