8 Qualities of Money
This site is fast becoming a question and answer site where many questions from readers are answered. A student send a mail asking if we could just post answers to this question "What are the Qualities of Money?"
Money is any thing that is aceptable as a form of payment for good or services and the qualities of money includes'
1. Recognisability: Money must be easily recognized and identified by the people. Money must not be fake or counterfeit Read Also - 6 way to send money abroad
2. Divisibility; money must be capable of being divided into smaller units e.g $100, $20, $50 etc to enable it purchase both high and low price things
3. Stability: The value of money must be stable. The stability of its value will help the business to be good, predictable and encourage lending and borrowing of money.
4. Durability: Anything to be used as money as money must be able to last long, not perishable and can stand the test of time.
5. General Acceptability: Money must be generally by all in the society or country as a means of exchange.
6. Portability; The object that serves as money must be generally must be easy to carry from one place to another and should be very light in weight.
7. Scarce; money must be relatively scarce that is, it must not be too many in circulation so as not to lose its value.
8. Homogeneity; Each unit of money must be the same in size, color, quality and same nationwide.
Thanks for reading 'Qualities of money' specially meant for college students