Money and Banking - Lecture 02

Definitions. Characteristics. Examples. Money. Origin of money. Importance of money. Functions of money. Forms of money - banknotes, deposits, gold. Money substitutes. Money creation. Money supply. Inflation. Barter. Disadvantages of barter. Divisibility. Marketability. Medium of Exchange. Indirect exchange. Direct exchange. Store of value. Unit of account. Depreciation. Devaluation. Value. Price. Commodity money. Paper money. Banknotes.