chapter  2
2 Pages

How money is used

We are so familiar with money that it is easy to take it for granted and not analyse the ways in which we use it. But if you think about it, you will see the following issues.

Money acts as a medium of exchange. Money enables people who make goods to obtain food, clothing and other wares. They sell their goods for money and then use the money to buy the things they need. Money enables them to exchange one thing for another.