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Money is the part of assets that is liquid and can be easily used as a medium of exchange. Money needs to be socially acceptable and it needs to keep its value to remain socially acceptable. Historically, shells, bones, nails, gold coins, and a number of other items have all been used as money. In today's economies currency and checkable accounts are considered the most predominant and the most liquid form of money. To the extent that banks create checking accounts they participate in creation of money in the economy. The discussion in this part of the course defines money and the role of the banking system in creating and destroying money in the economy. By creating and destroying money in this context we don't mean physically printing or shredding money.

Helpful Sites

http://wfhummel.cnchost.com/ provides a comprehensive list of topics concerning money, banking , credit cards, the federal reserve system and more.

http://www.stls.frb.org an interesting site, browse the site and click on education for interesting information. It also has an article about protecting your privacy.

http://www.money-rates.com includes information about current interest rates for different financial instruments as well as historic data on interest rates.