Money is a form of power, safety, and security. Those that were born wealthy tend to never truly understand to value as it applies to those who were born without it and led a life with more struggle. Money has 3 functions; store of value(you can earn today but dont have to spend earnings until tomorrow), unit of account (measurement of value in the economy towards transactions), and medium of exchange (widely accepted method of payment). (Federal Reserve Bank of St Louis, n.d) Money as we know it today (the US Dollar) was not always used as the widely accepted form of payment. Think back to when settlers first came to the shore of North Carolina and Virginia (1400s-1500s) and met the Indians. The natives did not have a financial system like the English, therefore traded with food and pelts for guns using a from of fiat money (does not have intrinsic value). The bible talks about money used in books as far back as Genesis including gold, silver, barely. (Orr, n.d) Genesis 13:2 Now Abram was very rich in livestock, in silver, and in gold. This indicates the currency used to make one rich in the very first book of the Bible. The Bible also makes it very clear that being rich isnt what one should strive for unless its rich with love or rich with family. Currency is more of a way to sustain life and looked at much less like todays currency. In todays times, being rich means a mansion, maid, and exotic cars. In biblical times it meant a home, food, and love for the Lord and for family. Ecclesiastes 5:10, Whoever loves money never has enough; whoever loves wealth is never satisfied with their income. This too is meaningless.
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Money is, for most of us, a significant factor in our everyday lives. Whether finding the best deals or worrying about our bank accounts during the Coronavirus craziness, our idea of “money” is involved in many of our decisions. But just what exactly is money?
According to the textbook, money “has three functions: as a medium of exchange, as a unit of account, and as a store of value”(Mateer & Coppock, p. 542). Mateer and Coppock describe currency as simply being paper bills and coins (p. 542). Currency fits the definitions of money in the following ways: It is acceptable as a means of trade for goods or services in the nation in which it is issued, therefore being an acceptable “medium of exchange”. Secondly, it is a “unit of account” because every piece of currency is in a standardized amount (for instance, twenty dollars or twenty-five cents). Finally, it is a “store of value”, meaning that it has some guaranteed value- even if inflation is great. One can store currency in their safe, and have a guaranteed value of their wealth.
Prior to currency being commonly used, a system of bartering- or trading with no common means of exchange- was used. To use an example from Russell Kirk’s book Economics: Work and Prosperity, a Colonial farmer in a Boston suburb may have traded pine tree boards which he cut in winter to a Boston merchant who had received a shipment of molasses. Both parties gained something valuable to him- Kirk writes that the “merchant could use the pine boards to build an addition to his warehouse, and the farmer could use the molasses to sweeten his food” (Kirk, p. 50-51).
I believe Scripture should always be a guide for are views of life. Many people choose to interpret verses differently (and all feel they’re correct), but in light of that, I will give you my interpretation of the following verses. The Apostle Paul wrote that “those who desire to be rich fall into temptation… For the love of money is a root of all kinds of evils” (1. Tim. 6:9-10). My personal understanding of Paul’s words is that while money is not evil, it is unwise to desire to accumulate much wealth. If it happens, wonderful. But we should be content with what we have- for desiring much money indicates dissatisfaction with one’s current net worth, and wealth rarely satisfies anyone.
References:
Mateer, Dick & Coppock, Lee. Principles of Macroeconomics. W.W. Norton, 2018.
Russell, Kirk. Economics: Work & Prosperity. Pensacola Christian College, 2012.
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