
well the origin of currency is fascinating journey, during my formative years i thought the barter system was better and simpler.
Let us travel through the ages to Scotland in 1200 B.C , a huge man wearing a skirt with nails and hammer is heading towards a house.He knocks at the doors ,someone answers the doors ....they have an argument .. after sometime the other person gives the man a piece of meat and takes the nails and the hammer...
a trade is made ..
in ancient timesthe sower and the reaper were the same . The man making the nails and selling is the same.The rearer and butcher was the same person.Division of labour was a thing unheard of back then.
Well but most useful things are perishable stuff like food items .. it is difficult to find value of a commodity .. most things perishable have high value in use but very low value actually in comparison to a diamond .. but a diamond has little value in use but great value in exchange.
now we leave towards greece ..
and i hear people measuring by oxens .. like the armour of achilles is worth 100 oxens.... times are changing i see imperishable metals being used ..copper being used in rome to trade.Bars of copper used for trade .. sometimes iron was used.. in rich countries silver and gold.. .. now it is very diffiult to pay in rude metal unstamped metal cause we don't know the exact value .. weighing them always and then assaying them is not an option without the additional costs.And if u don't assay melt the metal then its have huge chance to get defrauded..
stamped rude bars came into effect but still metal is scarce commodity .now coins came into being.
Servius tullius incorporated coins in rome .. roman pound contained a pound of copper
troyes pound used in scotland contained copper .. pound sterling contained a pound of silver of a known fineness .Shillings were infact a measure of weight rather than currency..
avarice and abuse of power used by kings princes states to repay the debts to the subjects by reducing the amount of silver in the pound.
this way .. money became the universal intrument of commerce
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