Money

= $$$ Money $$$ =

Uses and characteristics of money
What are the 6 Characteristics money must have? Design and draw a symbol to show each of these characteristics []

Bartering and Commodity Money
In the beginning, people bartered. Barter is the exchange of a good or service for another good or service, a bag of rice for a bag of beans. However, what if you couldn't agree what something was worth in exchange or you didn't want what the other person had. To solve that problem humans developed what is called commodity money. A commodity is a basic item used by almost everyone. In the past, salt, tea, tobacco, cattle and seeds were commodities and therefore were once used as money. However, using commodities as money had other problems. Carrying bags of salt and other commodities was hard, and commodities were difficult to store or were perishable. In your book write a brief paragraph why humans moved on from bartering and commodity money. In a small group put on a short play depicting the shortfalls of an ancient civilisation that uses cows for money.

From Cows to Computers //From four-legged barter to digital money, this article outlines the history of currency. Read on to learn how much money has changed in the past 1100 years!// Sure, you know all about money, right? You reach into your pocket, pull out a crisp green bill, and voila - you have brand new shoes! Money is a form of trade - you exchange it for goods and services. But while we're used to today's coins and paper bills, money's history is as deep and rich as any millionaire's pockets. For instance, did you know that the first coins were used over 3000 years ago? Impressive, but people used cattle and similar goods for a full 8,000 years before that! Here's a bit of background on how money came to be, and the interesting ways it's been used.

Currency's Timeline
The earliest form of money walked on four legs. From 9,000 BC - that's 11,000 years ago for those keeping track - until 6,000 BC, people used cattle and food for barter. Bartering is the exchange of one thing for another. This kind of exchange is nearly as ancient as humans themselves, but is still practiced in some parts of the world! The first consistent form of money was actually used by the Chinese about 3,200 years ago. Cowry shells (a unique type of seashell) could be traded for food, clothing, or anything else up for trade. The first form of money recognizable today - coins, was also first used in Turkey and China around 600 BC. These coins were made of metal and featured a hole in the center so that people could string them on chains. About 500 years after the Chinese began using various forms of metal for their coins, Turkey began using silver as the standard form. Other countries, such as Greece and Persia, followed suit. Perhaps not surprisingly, China became the first country to use leather as a form of currency in 118 BC. These makeshift bills gave way to true paper currency several centuries later. While Wampum is a funny word to say, the concept was very serious to Native Americans in the early 1500s. Like the Chinese, tribes began using shells - specifically clam shells - as a form of currency. The word Wampum means white, which reflects the color of the shells. It didn't take long before people began to realize that how rich a person was depended on how well they raised cattle, searched for seashells, or mined for metal. People were also using different types of currency. In order to make things less confusing, England chose to adopt what is called the Gold Standard in the early 1800s. The Gold Standard basically meant that all currency had to be backed up by gold, a precious metal in somewhat limited supply. This made money a bit more rare, and therefore more valuable. The United States started a worldwide movement to end the tendency to tie currency with the value of gold during the Great Depression, and most of the world followed suit. From then on, government agencies would determine the value of money - not gold. Almost all nations choose to use government-monitored paper money and coins as their official currency, but money has take a number of other forms as well. Credit cards and bank accounts make the exchange of electronic money possible. Using this method, banks and computers track how much 'money' you have, so there's no need to take cash around with you! From the information above construct a time line depicting the history of money (the line should go all the way across you page with dates below and events above). Can you draw your timeline to scale?
 * Mooo! - Cows and Crops**
 * Sally Sells Sea Shells...**
 * Clink! The First Metal Coins**
 * Hi Ho Silver!**
 * From Leather to Paper**
 * Wampum**
 * Going for Gold**
 * Today's Money - Going Digital**

Key question - what can the changes in our currency tell us about the the history of Australia?
Research Australian money. Present information that will address the the key question. All your informationmust fit on to an A4 sheet of paper. [] [] You can begin your research here but move on. make sure you include your references.

The future of money
The high demand for electronic banking is reflected in the growth of bank provided electronic facilities. Electronic banking use is very high in Australia. In fact, the Australian Bureau of Statistics estimates the following: (Australian Bankers’ Association, 2003) Since 1990, the number of transactions undertaken in a branch of a financial institution has dropped from 50% to 10%, meaning 90% of all banking transactions are now completed electronically. (Australian Bankers’ Association, 2003) What is meant by the 'cashless society'? Briefly explain how credit cards, Bpay and electronic banking work. What is your prediction for the future? Outline 3 advantages and 3 disadvantages of the cashless society.
 * Since 1997, the number of ATM facilities have increased 123% from 8,000 to almost 200,000 (Australian Bankers’ Association, 2003)
 * Since 1997, the number of EFTPOS facilities have increased by 118% from 200,000 to more than 440,000 (Australian Bankers’ Association, 2003)
 * 74% of Australians use ATM’s
 * 67% of Australians use EFTPOS
 * 49% of Australians use telephone banking
 * 13% of Australians use internet banking