How Do ‘Coins’ Know When to Be Worth More or Less?

Coins don’t know when they’re worth more or less, people do. Imagine you have a bag of candy, and the more candy you have, the less each piece is worth. Coins work like that: if there are a lot of coins around, they become less valuable; if there aren’t many, they get more valuable.

When people want to buy things, they use money, sometimes paper, sometimes coins. If coins are in high demand (like when people need change), their value goes up. But if a lot of new coins are made and put into circulation, the value of each coin can go down. So even though coins don’t think, people decide how much they’re worth.