Money and Credit

In barter

In barter, goods are exchanged directly without money. This works only when both sides want what the other offers at the same time. This matching of w

Money is accepted in exchange

Money is accepted in exchange for goods and services, and then used to buy what is needed. It removes the need for direct matching of wants.

Grains and cattle were early forms

Grains and cattle were early forms of money. Gold, silver, and copper coins came later. Modern money includes currency notes, coins, and demand deposi

Currency notes and coins are modern

Currency notes and coins are modern money. The Reserve Bank of India issues currency notes on behalf of the central government. No individual in India

Money kept in bank accounts

Money kept in bank accounts that can be withdrawn on demand is called demand deposits. Cheques allow payments directly from one bank account to anothe