There are different concepts of money: the rationalist and evolutionary.
Rationalist conception explains the origin of money as a result of an agreement between the people, making sure that the values for the movement in the exchange of goods requires special tools. This idea of money as a contract completely dominated until the late 18th century. Subjective - a psychological approach to the origin of the money is present in the views of many modern economists. So, Paul Samuelson defines money as an artificial social convention. American economist JK Galbraith believes that fixing the monetary function of precious metals and other items - a product agreement between people. [5, p.35]
According to the evolutionary origin of the concept of money history of money is the result of the social division of labor, exchange and commodity production. Examining the historical development of forms of exchange and value, can be understood as the total weight of the goods to single out one product that plays the role of money and special function is to serve as a universal equivalent.
The essence of money is revealed in their functions:
1) money as a measure of value;
2) money as a medium of exchange;
3) money as a means of payment;
4) money as a treasure;
5) world money.
Money as a measure of value - is the ability to measure the money value of all goods. To perform this function as special commodity money must have value. Therefore, the function of the measure of value can only perform full money - gold. That's what money and goods are the product of human labor, making them comparable. Cost of goods, expressed in monetary terms, is called its price. Money, being a product of social labor, has a cost, but the price they have not, because otherwise they must be assigned to themselves.
As the price - it is a form of expression of value; always in the price itself is the possibility of rejection of the cost. To express the value of the goods do not need to have cash. Expression of the value of money is an ideal character, i.e. function measures the cost can run visualize ideal money. Expression of the value of goods with money means not only quality, but also the quantification, namely, this quantity is equal to a certain amount of gold. On comparing the quantitative values of commodities gold is associated technical function of money - of price. The scale of prices - fixed by the weight of the gold, which was adopted as a unit of currency.
Money as a medium of exchange. The process of commodity circulation creates the need for money as a medium of exchange. Money mediates the exchange of commodities (C - M - C). Internally, a single act of commodity exchange (T - T) is divided into two seemingly separate acts: the producer (C - M) and purchase (M -). These acts are separated by time and space, hence the possibility of an independent movement of money and goods. There is the possibility of rupture of purchase and sale. The owner of the goods to be sold does not have to immediately buy another product. Receiving money for their goods, it can hold them at home, to buy goods in another place. Function of a medium of exchange, in contrast to the measure of value function can execute and defective money, but symbols - signs full of money. This is due to the nature of money as a medium of exchange. Money functions as a medium of transiently, are in constant motion. Metal money cleared, lose weight. Money becomes defective. These include silver and copper coins.
Money as a means of payment. With the development of commodity production and circulation having a relationship in which there is a sale of goods on credit. The sale of goods on credit money functions in the field of commodity circulation: ideally, as a measure of value in determining the price of goods, as the ideal means of purchase buyer, which makes a transition from the hands of the seller of goods in the hands of the buyer.
From the function of money as means of payment arise credit money - bills, notes, checks.
Money as a means of hoarding and savings. The splitting of the circuit C - M - C 2 independent of the act (C - M and M - C) creates the possibility and the need to accumulate money. During the treatment of goods from producers arises desire to keep at result of the sale of goods. If the sale of goods should not purchase, the seller is in the hands of the cost of goods sold in the form of money. The money is in the form treasures, and the seller of goods becomes a collector of treasures.
Promissory note - a written promissory strictly prescribed form, giving its owner (note holder) indisputable right at maturity to demand from the debtor designated amount of money. Bill goes to commodity turnover and plays the role of money.
Notes (bank notes) are the result of the replacement of private Bills Bills banks. The banknote is none other than the bill of a banker, in which the presenter at any time to get money and which replaces the private banker bills.
Check - a document that contains an unconditional order of the owner of the current account to pay the sum specified therein specified person or bearer.
World money. Money functions, not only within the country but also in the turnover between the countries. Here they perform the function of world money.
Features the world's money:
1) to function as a universal measure of value;
2) act as a universal means of payment;
3) act as general purchasing agent;
4) are the universal embodiment of social wealth.
Study of the origin, nature, the internal mechanism, evolution, and function of money - the most important condition for the functioning of modern understanding of money and use them effectively in a market economy.
