FINANCIAL EDUCATION IN SCHOOLS AND KINDERGARTENS
THE STORY OF MONEY
THE STORY OF MONEY How would our lives be without the use of money?
Weird, no?
THE STORY OF MONEY At the beginning, there was no money. People used to exchange goods by other goods, without an equivalent in value.
So, who fished more fish than the need for them and the group would change it with another person who, for instance, had planted and harvested more corn than would need.
THE STORY OF MONEY This elementary form of trade was dominant at the beginning of civilization. Goods used for exchange were usually in their natural state, varying according to the activities developed by the group, corresponding to the main needs of its members.
THE STORY OF MONEY However, in this form of exchange, there were difficulties because there was no common measure of value among the goods to be exchanged‌
THE STORY OF MONEY
Money-Goods
THE STORY OF MONEY • Some goods, for their utility, were more sought than others.
• Accepted by all, they assumed the role of currency, circulating as something to exchange by other goods/products and serving to assess their value. They were the: • COMMODITY MONEY. (COINSGOODS)
THE STORY OF MONEY Cattle, especially bovine, was the most used; it had advantages of moving by its own, reproduction and services, although there was the risk of disease and death.
Salt was another commodity money.
THE STORY OF MONEY
Metal
THE STORY OF MONEY When Man discovered metal, soon started to use it to make his tools and weapons (made of stone above).
THE STORY OF MONEY Metal was chosen as the main standard of value. It was exchanged in the most diverse forms. At first, in its natural state, then in the form of bars and, also, in the form of objects such as rings, bracelets, etc.
THE STORY OF MONEY
Objects used as Coins
THE STORY OF MONEY Metal utensils became a highly prized merchandise. The appreciation of these instruments was increasing, led to its use as currency and to the appearance of metal replicas of objects in small dimensions, which circulated as money.
THE STORY OF MONEY
Ancient Coins
THE STORY OF MONEY • On the seventh century BC, we see the first coins with the current features: they are small peaces of metal with a definite weight and value and with the printed official seal, that is, the hallmark of those who issued and ensured its value. • They are minted silver coins in Greece and in Libya they use small oval lingots of na alloy of gold and silver called electrum.
THE STORY OF MONEY The coins reflect the mentality of people and their time. In the coins we can see political, economic, technological and cultural aspects. It is for the impressions we found on the coins that we know today the effigy of personalities who lived many centuries ago.
THE STORY OF MONEY The coins began circulating in the year 2000 BC. Probably the first historical figure to have his effigy on a coin was Alexander, the Great, from Macedonia, around the year 330 BC.
THE STORY OF MONEY
Gold, Silver and Copper
THE STORY OF MONEY • The first metals used in the minting of coins were gold and silver. • Notes
Chinese people started to use the notes by the year 800 AC.
THE STORY OF MONEY The minting of gold and silver coins remained for many centuries, being its value guaranteed by the comercial value of the metal used in their manufacture. Thus, a coin in which had been used 20 grams of gold was exchanged for goods in the same value.