MONEY AND ITS FUNCTION (Tiền- chức tiền) I Vocabulary II Question III Summery I Vocabulary Concept Commodity Consent Circulate Wealth Facilitate Principal Measure Measurement Standard Medium of exchange Settlement Common Quote /ˈkɒn.sɛpt/ Khái niệm /kəˈmɑːdəti/ Hàng hóa /kɒn.’sɛnt/ Sự đồng lòng /ˈsɜː(r)kjʊleɪt/ Lưu hành /welθ/ Của cải /fəˈsɪləteɪt/ Tạo điều kiện /ˈprɪnsɪpəl/ Chính, chủ yếu /ˈmɛʒə/ Thước đo /ˈmeʒə(r)mənt/ Sự đo lường /ˈstændə(r)d/ Tiêu chuẩn /ˈmiːdɪəm/ /əv/ Phương tiện toán /ɪkstʃeɪndʒ/ Sự toán /ˈset(ə)lmənt/ /ˈkɒmən/ Phổ biến /kwəʊt/ Định giá I Vocabulary Sterling Store of money Simplify Immediately Installment Material Article Livestock Elephant tusk Value Defer /ˈstɜː(r)lɪŋ/ Đồng bảng anh Phương tiện cất trữ /ˈsɪmplɪfaɪ/ Đơn giản hóa /ɪˈmiːdiətli/ Ngay /ɪnˈstɔːlmənt/ Phần trả lần /məˈtɪəriəl/ Vật chất /ˈɑː(r)tɪk(ə)l/ Đồ, vật phẩm /ˈlaɪvˌstɒk/ Gia súc, vật nuôi /ˈelɪfənt/ /tʌsk/ Ngà voi /ˈvæljuː/ Giá trị /dɪˈfɜː(r)/ Hoãn lại I Vocabulary /ˈmiːdɪəm/ /tʃeɪndʒ/ Medium of change /ˈmɛʒə/ /ˈvæl.juː/ phương tiện trao đổi Measure of value /ˈpeɪɪmənt/ thước đo giá trị Payment /ˈstændɚd/ /ˈpeɪɪmənt/ toán, khoản toán phương tiện trả chậm Standard of deferred payment Installment buying /ɪnˈstɔːlmənt/ mua trả góp Token money /ˈtoʊkən/ /ˈmʌni/ tiền dấu hiệu Purchasing power sức mua Monetary value giá trị tiền Reserve currency tiền dự trữ Foreign exchange reserve /ˈkɝ.ən.si/ dự trữ ngoại hối Rish /ˈfɒɹən/ /ɛkstʃeɪndʒ/ rủi ro Inconvenience bất tiện Representative money tiền đại diện /reprɪˈzentətɪv/ /ˈmʌni/ II Questions What is the medium of exchange?  A medium of exchange is anything that is widely accepted in payment for goods and settlement of debt What is the measure of value?  Money is used as a unit of account The unit of account is the unit, in which prices are quoted and account are kept What is the store of value?  If you don’t use your money to buy goods now, you can save it to buy in the future II Questions What is the standard of deferred of payments?  When you buy something but not pay for it immediately, your payment is expressed in term of money to be paid in the future What is a commodity money?  Commodity money is a useful good that serve as a medium of exchange What is a token money?  Token money is a means of payment whose value or purchasing power exceeds its costs production II Questions Why has the function ‘standard of deferred payments become increasingly important?  Because of the wide use of installment buying How is money used as medium of exchange?  People buy or sell goods in exchange for money Money is a medium through which people exchange goods and services How is money used as a unit of account?  If we choose not to buy with our money toda, we can buy in the future III Summary Unit 11 is about money and its function There are some main ideas:  -Firstly, it talks about the concept of money Money is a commodity accepted by general consent as a medium of economic exchange  -Secondly, it talks about the functions of money  There are four functions of money They are: medium of exchange, a measure of value, a store of value, a standard of deferred payments  -Finally, it talks about the two types of money They are commodity money and token money II Expanded questions What is a reserve currency? And why countries keep reserve currency? (Tiền dự trữ gì? Tại quốc gia giữ tiền dự trữ)  Reserve currency is a currency that is held in large amounts by central banks and financial institutions as part of their foreign exchange reserves The main reserve currency of the countries right now is the US Dollar (foreign exchange reserve: dự trữ ngoại hối.)  Countries keep reserve currency because it’s commonly used in international transactions and it’s used to pay off international debts Holding reserves currency minimizes exchange rate risk because it allows two nations to conduct transactions with each other in the same currency II Expanded questions What you think is the most important function of money? And why?   In my opinion, a medium exchange is the most important function of money Because if without this function, all transactions would be more difficult This function can avoid the inconveniences of a pure barter system THANK YOU