As an addition to what I am learning for my case study in my Economic Fundamentals class, we organized a trip to the Federal Reserve Bank of Chicago. During this time, we were given an intuitive lecture on the statistics of our economy and the roles federal reserve agents play. We also observed the different ways money can represent values, as well as how it functions as an important aspect of maintaining an operable country. Given what we know of the roles banks play when it comes to monitoring the statistics of money flow, we can understand how it’s used and what it does for us as an economy. For the purpose of this study, I was engaged in learning the way we view values in money is constantly changing based on the pressure of the economy, and how it can be calculated in terms of business and consumer spending. Therefore, I learned that the very role of money itself, the types of money that we use as currency, as well as what it effects, is a highly significant role in supporting country growth. In this case, we can understand what the values mean when it comes to debt on a consumerist and public scale.

Why was the invention of paper-like money so important?
The invention of paper-like money has an important purpose when it comes to the represented values of “items” or “services”. It contains the legal tender of its value based on the government’s authorization. This means that the money we use is based on the ideal dollar value an item or service has, and this effects different levels of employment and business operations. This is important because these values are easily represented and therefore calculated in order to maintain a system of management. In this system, we can have advantages in controlling what we spend while having a strict type of organization. This organization relies on confirming the worth of an item based on the applications of a producer, and the reliance on the federal government to assure ownership of a person’s earnings. In essence, the use of paper money has no other purpose other than representing values and having a physical item where we can confirm the authenticity of the money’s role.

What are some of the ways our lives would be different if we had a barter system today?
Had a country relied on an economy that had a dependance on a barter system, our lives would vary dramatically because money plays a role in lifestyle achievements and what values we give those applications. However, in the long run, our mentality of values would be only significant when it came to the purchase of items and services, which depends on what the trade represents to the individual. In a barter system, humans give value to items based on that person’s raw needs for their lifestyle. Of course in a barter system, when a person wants something they will have to trade an item they think will be useful for that other person’s lifestyle. This exchange needs to have a counter balance based on survival tactics and what is required of them in their society. Looking at this difference, we can understand that using a barter system to support society will ultimately effect the complexity of the various types of lifestyles people have. As an example, education will not be applied for a career in which the rewards is through a strict value system. If you think about it, the grounds of education is pressured based on the successes we earn through careers, and we rely on a money system in order to represent those survives. However, the understanding of what these services do to benefit the function of society is another question entirely. Therefore whether or not a barter system is better than a money system, or vise versa, varies. And this can depend on how the individual views the importance of success and how they think rewards are earned for attempting to live out a goal.

Would you favor the U.S. copying any ideas from other countries for use on our currency?
I do not believe that there is much of an importance in copying currency ideas based off of an entirely different economy. A country’s needs and density of services can vary, and this means our currency has to be modified to best support the society. However, I do think that there can be some better form of living if each country had a similar type of economy system, where we do not have to depend too much on the reliance on money values.