What is Money?

Money Master Intro An Introduction to Money
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Transcript

Economy is based on the exchange of goods and services for fair value. Or in other words, what people are willing to pay a little before your time, when humans first began trading with each other things were very simple, because there was no such thing as money. People exchanged goods or services for other goods or services. I don't know about you, but I'd have a tough time deciding which shirt I'd like to trade for the pizza I want. You see, just because that method of trading was simple, didn't make it efficient or ideal. That's where money comes into play.

At one point in time, money was made from the things that are inherently valuable, like gold and silver. When times get tough, you can always turn those into some nice jewelry. Today, cash holds value because we believe it does. Eating $1 bill won't do you any good and it makes for really crappy jewelry. Our money is a medium of exchange that allows us to do things without immediately sacrificing anything Have material value. The only reason you want money is because you trust that somebody else will value that piece of paper as much as you do when you want to purchase something.

At the end of the day, money represents and measures value. The difference between the rich and the poor is the ability to build value or wealth. If the point is to build as much value as possible, how should we invest our time? How should we invest our money? The answer to these questions will either open or close doors for your financial future. This course will give you a better understanding of how you can use your money to your advantage.

Instead of wondering why you're not getting ahead, wouldn't you like to see your money grow? Let's first take a look at the common pitfalls that prevent people from increasing their wealth.

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