Meaning of Money — Money and Banking Class 12 Notes
Standard Definition (Prof. Crowther)
"Anything that is generally acceptable as a means of exchange and at the same time, acts as a measure and a store of value."
Functions of Money — Money and Banking Class 12 Notes
It is the most important function of money. It solves the problem of the lack of the double coincidence of wants that was faced under the barter system. Money permits people to trade at less cost in time and effort. A man who wants to sell wheat in exchange for rice can sell it for money and purchase rice, which was not easy under the barter system.
Money has also removed the difficulty of the barter system by serving as a common measure of value. The values of various commodities are expressed in terms of money. Money as a measure of value has made transactions simple and easy. In India, the unit of account is the Rupee, and in the USA, it is the Dollar.