Classification of money

1. Classification of Money

2. Classification of
Money
I.Full-bodied money
II.Representative full-bodied
money

3. I.Full-bodied money
•Full-bodied money is a money whose
value as a commodity for non-monetary
purposes is a great as its value as
money.
•The principal full-bodied money in
modern monetary systems has been
coins of the standard metal when a
country is on a metallic standard: a gold
standard, a silver standard or a
bimetallic standard using gold and silver.

4. Full-bodied coins were
typically issued by
governments. Three steps
were involved:
1.Define the gold value of the monetary
unit.
2.At the stipulated price, purchase all
the metal that is offered and coin it
without limit and virtually without
charge.
3.Permit the melting of coins to get
gold for non-monetary uses and stand
ready to sell the entire commodity
that is demanded.

5. II.Representative full-bodied
money
•Representative full-bodied money is
usually made of paper. It is in
effect a circulating warehouse
receipt for full-bodied coins or
either equivalent in bullion.
•It “represents in circulating an
amount of metal with a commodity
value equal to the value of the
money."

6. Types of Money Issued in the
Philippines
Types Money Issued
Standard Money Central Banks Notes
Representative Money Philippine Treasury Certificates
1903
Convertible Representative MoneyPhilippine Treasury Certificates
1903
Fiat Money (Old Concepts) Japanese War Notes
Fiat Money ( Current Concept) Bangko Sentral Notes
Token Coins Metallic Coins (Php .50- Php
10.00)
Credit Money Bangko Sentral Notes