9. Questions for discussion

1. Does money make the world go round?

2. What would life be like without money?

3. How often do you think about money?

4. What does the expression, “money doesn’t grow on trees” mean? What would life be like if it did?

5. How would the world be different if all the money in the world was shared out equally among all people?

10. Read the dialogue. Try to complete it with your partner

Rodney:	I don't see where all this is going. Why have all this complicated vocabulary of objective/subjective, value in exchange and value in use?
McCloskey:	It's going towards a crucial idea---also one of Alfred Marshall's inventions---of "consumer surplus." Consumer surplus is how much higher total value in use is than value in exchange.
Rodney:	And it's crucial because . . . ?
McCloskey:	Because it shows---and we'll show later---why market exchange is good for you and everyone else involved.
Rodney:	That does sound crucial.
McCloskey:	….
Rodney:	….

11. Home reading. Read and translate the text. Suggest the title

Cash refers to money in the physical form of currency, such as banknotes and coins. The word comes from the modern French word caisse, which means "money box," coming from Provençal word caissa, from the Italian cassa, from the Latin capsa which means "box". In the 18th century, the word passed to refer to the money instead of the actual box containing it. Used as a verb it means "to convert to cash"; for example in the expression "to cash a check". In bookkeeping and finance, "cash" refers to current assets comprising currency or currency equivalents that can be accessed immediately or near-immediately (as in the case of money market accounts). Cash is seen either as a reserve for payments, in case of a structural or incidental negative cash flow or as a way to avoid a downturn on financial markets.

The most common forms of money you can touch and hold as a physical object are coins and bank notes. The latter is also called paper money. But it could also be a gift certificate or any other object that represents value to more than one person.

The main difference with money as a bank balance is that coins and bank notes are anonymous. You can't tell from looking at a coin or bank note who owns it or where it came from.

In addition to money you can physically touch and hold, money can also exist in the form of a balance at the bank. In many cases this is a savings account, but nowadays, it can also be a debit account. Payments between debit accounts used to work like this:

The account holder fills out a form that asks the bank to transfer an amount from his own bank account to someone else's bank account. Usually, his own account number is printed on the form by the bank. All he has to do is write down the account number and the name of the recipient, and of course, the amount to be transferred. Finally, he signs the form and sends it to the bank. The signature is the official authorization to transfer the money.

When the bank receives the form, they check if the name and account number of the recipient match, and sometimes even if the signature of the account holder matches the one they have on record. If everything is correct and the bank balance of the account holder is sufficient for the transfer, the money is transferred to the recipient's bank account. Both the sender and the recipient will then be notified by the bank that the transfer has been conducted.

In the past, this whole process used to take days, sometimes even weeks. Electronic transfer changed that significantly. Nowadays, we often use the term electronic money in situations where the transfer is completed within seconds. (2170)