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The nature and necessity of money is one singular fact that responds to every thing in nature. It holds together the very essence of our beloved intricate nature, every local, regional or international issue of any significance could have been handled differently could there have been more or less of this money. The money factor has taken the centre stage of every heart beat of each and every agenda and it predetermines and dictates our very existence. Our relationships with most of what we seek identity with, whether object or human, is best defined by our relationship with this paper currency. The geographical positions and the variations in the environmental factors that surround us could have been shaped by that instant that we lacked or had extra of this very money. As we speak now multitudes of people are; on train headed to their offices or businesses, tilling their farms, relaxing in a beach or headed to the moon, all of this people could be elsewhere doing extremely different things if only they had lacked or if their could have afforded extra of this money. So what is this monster that we so much adore, though we all don’t want to?

Want or need?

Every country that has a population will always tie the foot of every productive citizen to make sure they return back to submit part of their earnings, they would in turn invest this to circular regional or international trades to earn interest. Whoever wants money must give out part of what he has and failure to do that is simply unforgivable and will lead to the person getting nothing in return. Those who give more would receive more in paid out interests, but for those who give nothing will as well have nothing in return to give and to receive, this creates a cyclic effect where the rich become richer and the poor end up dying desperate. The rich at times may device ways and means to ensure that they don’t loose their position in the world of the abundance by suppressing the poor using their vast resources. They close the poor in cages of dependence where they dish help in piecemeal that is properly crafted to ensure that it cannot lift them from their abject poverty but it will maintain them alive to keep on worshiping the giver. Those individual and countries that trades with higher interest on the money they have borrowed will attract more money into their bosoms as everyone runs away from those unwilling to be generous. The extra coins in the country will encourage many investors to put their money in fixed assets such as land hence increase the prices of such assets, a fact that will put them far away from the reach of those with insufficient of this money. Business blossoms in such circumstances forcing more and more people to keep on borrowing.

Excessive want of money in a given country significantly affects the products of trade in that country by lowering its money value. This is because it reduces the demand of such trade products and in such a case the price of land would be low. In the other hand excessive money would lead to raise in demand of products a factor that would encourage many to farm and produce such needed products, hence making the price of the land to appreciate. Many of those who might have engaged themselves in other businesses may then find themselves practicing the profitable husbandry. The generalized want for money also discourages hand laborers from their duties forcing also many settlers to seek better and enjoyable scenes elsewhere, where they can attract more financial benefits. It becomes painful experience for the hand laborers for they have to work twice as hand to get half of what they used to enjoy and this fact really bedevils the paymasters. Similarly excessive money will encourage big numbers of hand laborers to enter into the country a fact that would cause the prices of land to shoot upwards due to the rise in its demand (Bloom, 1987).

Investing in State

Since time immemorial, the opinions of human beings have always been greatly influenced by the variations of what may appear to be of their major interest. For this reason, individuals that are carried by desires to trade, end up practicing money lending services with exorbitant interests in the full disregard of the law, once there is general scarce of the money. This practice would in essence flood the markets with paper currency that eventually would force the interests down making it easy for everyone to lend on much lesser security. Those who shelve great amount of money can decide to control the way the economy paces. With their wealth growing steadily they would dilute any cause of inflation in the country and keep the prices of fixed assets like land constant by avoiding to scramble for it, this would in return force the sellers to offer it for less a move that would impoverish them and keep those who are rich more rich. The court arbitrators would be against excess in currency in a country, for it would shield many from borrowing and consequently then, this would reduce the number of those being sued in courts for non compliance with the terms of borrowing. If no one is being sued then their business would not do well.

The traders and proprietors’ interest is to see excess money changing hands in a country, this is because the money would cause the value of land to go up and they can be able to access borrowed money at low interests. This would further increase their merchandise in such a time when the sales are quite high. An improved economy of any given country would raise the availability of average salaries and improve the standard of living of its citizens. This would in essence raise the purchasing power of the people and encourage more trade with other countries. This cyclic behavior will pour more money to the business people, the government and eventually to the ordinary people (Dawson, et al 1932).

The medium of exchange

It would be a complicated venture if the global still lived in the ages of the barter trade. A woman seeking to exchange a dress for corn may as well meet multitudes of others with corn that they would offer but not in exchange with the dress. Similarly many would be interested in her dress but lack to have corn to offer in exchange. Money is therefore a clever solution to this otherwise complex scenario for now everyone regardless of what he has for the market can readily accept money and use it to acquire what he/she lacks. In addition the globe is becoming a sophisticated place with the introduction of plastic money where one can engage in trade without necessarily having to carry money along with him. Money is being transferred through the internet today from one bank to another, from an individual to another and also from a country to another. This has greatly made the exchange of services and commodities very efficient within boarders and internationally.

Conclusion

It has been observed that in all cases if a country has no sufficient money for its trade operations then there would be devaluation of the currency by such a rate as the deficit of the money for trade has fallen. Similarly if the money is in excess the value of the currency may change significantly and affect the trade operations within the country. It is upon the trading nation to put the structures together to ensure that there is proper flow of the money within the system so as not to hurt the trading relations between the business communities. Money concept remains quit elusive today and keep on dictating operations of the universe. It is advisable that man learns how to take control of the money in his possession because failure to do this, his own money can easily take the master’s role. It is said that love of money is the root of all evils but man should be able to balance between his needs and wants to know when he is over reacting in the search of this money, for money can be a humble servant but a very cruel master.

Custom Money essay writing service. Samples, help


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