Why Do We Use ‘Money’ in Trade?

Imagine you want to trade your apples for a toy. But what if the toy owner wants bread, not apples? That’s where money comes in, it helps everyone agree on a fair deal. Money is like a special card that lets you buy anything from anywhere. It makes trading easier and faster, so people can focus on making more things they love.

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Examples

  1. You trade your apples for coins, then use those coins to buy a toy.
  2. A baker uses money to pay for flour instead of trading bread for wheat.
  3. Your friend gives you money so you can buy a comic book.

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