3 Functions of Money

The video tutorial explains the concept of money, highlighting its three main functions: medium of exchange, unit of account, and store of value. It illustrates these functions with examples, such as Clifford dollars used in a classroom setting. The tutorial also differentiates between fiat money, which has no intrinsic value, and commodity money, which does. It concludes by discussing the decline of the gold standard and the prevalence of fiat money today.

What is the difference between fiat money and commodity money?

Why is it said that the amount of money you have does not represent a certain amount of gold?