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Money and banks

Money & banks
Noura Almudimigh 438200067
Ohoud Almoaither 438200078
Nourh Alolayan 438200025
‫مبادئ االقتصاد الكلي‬
The concept of money
• Is anything that is generally acceptable to sellers in exchange for goods
and services.
Nourh Alolayan
The Functions of Money
o Medium of exchange:
o Standard object - exchange goods & services
o Divisible
o Compact (easy to carry): high value per unit of volume or weight
o Identical (uniform)
o Unit of account
o Standard unit – quoting prices
o Store of value
o Store wealth
o Storable and durable
Noura Almudimigh
The importance of money in the economy
make the whole economy more productive
the extent of exchange is greatly increased
Money flows through the modern world with astonishing
• The efficiency of money and banks is very influential, both in
individual’s lives and the macroeconomy.
• Money is a means of providing food, drink and clothing
• The concept of money slide 2
• The Functions of Money slide 3
• The importance of money in the economy slide 4