When the government prints new banknotes and coins, the money is used to replace the old money instead of creating new money. Number of circulation of money is constantly changing. That is the demand and supply of money changing. Increased demand for money thanks to the high place of birth ATM.
A. Forms of Exchange Accompanied by Meaning Definition / Definition
1. Fiat Money / Money Tokens
Fiat money is money that the nominal value is much higher than the material for the money. The money will be valuable because the government and the community have agreed to accept the money with a certain value. Example: Rp. 50.000, - cost of production may not Sampa Rp. Perlembarnya 20,000, but these bills have the same value with gold valued at Rp. 50.000, -.
2. Money Commodities
Commodity money is money which the material manufacturer / commodity materials with nominal value of money. Example: In the past the bronze, silver and gold used as a medium of exchange whose value economic transactions differ from each other where the gold is higher than silver and silver worth more than the bronze.
3. Money Almost Perfect Liquid
Money is a nearly perfect liquid assets that can be used as money but not all economic actors willing to accept as payment because it must first be exchanged with liquid money (fiat and commodity money) if you want to use on all economic actors. Examples of checks that can be used in some places as a means of payment that can be withdrawn into real money.
B. Tiger and Money Types Accompanied by Meaning Definition / The sense
1. Currency
Currency is the money used as a means of legitimate transactions and shall be admitted to the whole society on the economy. Generally in the form of currency banknotes and coins in Indonesia made by Bank Indonesia as the central bank is given the sole right to print the / rights oktroi. The money is protected by the Act in which the perpetrator counterfeiting punishable by fines and prison sentences. Examples of such currency coins Rp. 100, - USD banknotes. 1.000, - and so forth.
2. Money Giral
Demand deposits is a bill in the commercial banks that can be used as a means of payment and transactions are legitimate and masyarakt not obliged to accept payment. Demand deposits can be practically easy, safe and practical because the transactions in which one does not need to calculate and carry lots of cash, if lost or fall into the hands of evil people can be immediately blocked and easy of use. Examples of demand deposits which are like checks, demand deposits, telegraphic transfers, and others.
3. Quasi money
Quasi money is valuable Surata or certificate that can be used as legal tender. Examples of quasi money is stocks, bonds, and others.
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