Thursday 2 June 2016

Evolution of money - Wealth Apoxtle

Hello friends, to make you see that paper notes or currency is not the real money, I will like to take you down the sands of time, in what I call the evolution of  money. 
      Many years ago,humanity had no money. In fact the first set of people in the new civilisation were called cavemen or hunters,  these set of people wore no clothes, they were living in wildernesses and forests. So if the people back then had a million dollar, what would they have done with it? I.e there were  no cars or shopping malls;that era of their lives did not need what we call money today. So at that point in time,which to them was civilisation, what they had was their skill and strength to hunt. So their currency then was the skill and strength to hunt, because that is what was needed to survive. Soon they realised that there is more to the ground than hunting, which is farming.
       This brought about the Agrarian age. So in this age land became valuable, people then began to take ownership of lands, so that they can have plantations because the bigger your plantations, the wealthier you become. So they made money evolve again from just skill and energy to "trade by barter". This is the earliest recognition of money people can relate to because while you were going through school, you were taught about it. So back then people go to the market with what they have to get what they want by exchange. Emotions and Sentiments does not apply/play in the market place. It is in this age that slave trade began, people had to buy people to work on their farms. Also in this age was when polygamy came to exist, because people discovered that they can marry many wives and have many children to work on their Plantation instead of buying slaves. 
         Suddenly they realised that some produce they have can't be stored, so that is how the industrial age came in to be. In the agrarian age, there were problems of mobility and equality, also  someone that has what you need might not need what you have. So they started using coins and cowries. Eventually Gold bars also evolved as mode of exchange for goods and services, then the paper money evolved and also the banking system. This way everybody brought their gold to the bank, the bank became the centre of transactions. So people made transactions and gave themselves promissory notes. That is why till date it is written on the British Pound, "i promise to pay the bearer on demand the sum of".  So people take all their promissory notes to the bank and the bank does the behind scene transaction with your Gold bars.  So it finally became the paper currency.
        Now Nations have seen that the paper currency is not money, because you go into a country and you want to exchange your currency and you loose a lot of currency. So they came up with plastic cards. So what then is money?  You will get to know that in the next piece coming up today.

No comments: