Why do people use money instead of just exchanging goods?

Today's question is - Why do people use money instead of just exchanging goods?


Hey guys, 

If you read history then you'll see , back then there was no concept of money or paper money that we have today, instead they used to exchange goods if they want something.


how it works let's understand this with an example

let's say i'm a farmer and i grow wheat, so i have a lots of wheat but to survive in the society i need clothes , so what i will do here , i will go to the person who make clothes and offer him my wheat in exchange of that i will take some clothes.

but there are many problems in this system, what if the person who have clothes doesn't want our wheat, and who want wheat doesn't have clothes. what if the person who have clothes want more wheat in exchange than their offered clothes value. 


so due to these problems , back then people's struggle a lot while exchanging goods, so to solves this problem , kings back then introduced gold coins as currency. Now people can buy and sell anything with gold coins based on the product value.

Initially it was good , but as humanity progress , peoples realises that gold coins also has a problem. 

what problem, problem of gold coin is storing. due to its physical weight and big mass , storing it has a bit challenging, there was constant fear of theft.


so to solve this problem leaders in the modern history introduced paper money, due to its light weight and easy to hid feature it become the currency of modern history. 

people till now uses paper money, but now there is a fast shift happening from paper money to digital money as humanity is progressing in technology.


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