Money is one of the most significant inventions in human history. Without this specific product, which serves as the equivalent of the value of other things, it is difficult to imagine the life of modern society. But at an early stage of its development, mankind did without money. Their appearance is associated with the emergence of exchange.
Instructions
Step 1
In primitive society, there was no need for money. Subsistence farming was the basis of life in those days. The tribal communities themselves produced everything they needed. If, nevertheless, it was required to make an exchange of products or objects with other tribes, then an equivalent barter was used, which did not require money. At the same time, some items were exchanged by agreement for a strictly defined amount of other things or products.
Step 2
With the growth of the productive forces of society and the expansion of ties between tribes, natural exchange began to slow down economic relations. There was a need for a special means of payment, which would be universal. This is how the first substitutes for money emerged. At first, they were not specially made for this purpose. The most common improvised items were most often the equivalent.
Step 3
During the exchange, some things were used that had value in the eyes of both parties involved in the exchange, for example, animal skins, pearls or beautiful rare shells. In New Zealand, cut and drilled stones were used as an equivalent value. And for the indigenous people of North America, bright wampum necklaces acted as a means of payment.
Step 4
Over time, metal products came to the fore for the role of money. This material was resistant to wear and tear; from metal it was possible to make ingots that had a certain weight. Not at once metallic money acquired the form of coins. In the beginning, metal stumps or cast bars of the correct shape were the means of payment. Gradually it became clear that the best metals for making money are silver and gold.
Step 5
Money in the form of coins first appeared in China and the Lydian kingdom around seven centuries BC. Even then, coins were produced according to a special standard. They were the same size and weight. Copper, silver and gold became the material for the production of such money. Alloys of different metals were often used. Usually coins were round, but there were also square samples.
Step 6
Coins made of precious metals almost immediately became the object of manipulation by intruders trying to get an easy profit. It is known that the most enterprising inhabitants of Ancient Rome, for example, often sawed gold coins in a circle, which reduced their value.
Step 7
Since criminal bans on fraudsters were weak, the state took technical measures. A small notch was applied to the edges of each high-denomination coin. It served as a kind of indicator of the integrity of the means of payment. If there was no notch, it meant that someone had already actively worked with the coin. The state also took some other measures to protect the first money from damage.
