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What Are The Qualities Of Good Money Material?

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Sajid Majeed Profile
Sajid Majeed answered
Following are the main qualities of good money material.
General Acceptability:
The essential quality of good money material is that it should be acceptable without any hesitation in exchange for goods and services.

Stability of Value:
Money should be stable in value. If the value of money fluctuates swiftly then it is useless money. Because money is the Standard by which we measure the value of all other commodities.
Transportability:
The commodity chosen as money should be easily transportable without any depreciation.
High Value, Small Weight:
A good money value should be high but weight should be small. So it will be easy in sending from one place to another.

Storability:
A good money material is that which can be storable without any depreciation. If money material is parish able then it can not serve as a good money material.
Divisibility:
The commodity chosen as money should be capable of being re-united without loosing its value.

Homogeneity:
The commodity selected as money should be of a uniform, and capable of standardization.
Cognoscibility:
It is the basic condition of perfect money that it should be easily recognizable by the eye, ear or the touch.
Malleability:
A commodity selected to serve as money should be capable of being moulded and stamped.
Anonymous Profile
Anonymous answered
1.Homogeneity: Anything that will serve as money must be the same everywhere.  2.Durability: It should be able to stand the test of time and also should not get spoilt.  3.Divisibility: Money should not be in one denomination.  4.Portability: It should be easy to carry about.  5.Scarcity: It should relatively scarce i.e.it should not be too scarce or too easy to come by.  6.Recognisability: It should be recognised by everbody  7.Acceptability: It should be acceptable by all
Haider Imtiaz Profile
Haider Imtiaz answered
Following are the qualities of good money material.
1. General acceptance: The essential quality of good money material is that it should be acceptable to all, without any hesitation in the exchange for goods and services.
2. Portability: It is also an important quality of good money material that is should be easily transferable from one place to another for doing business and making payment. The paper money is easier to carry because it has minimum possible wait than metallic money.
3. Storability: The material use as money should be storable and it should not be depreciate with time. If the money used is perishable it will lose its value in few days. Paper money has this quality of storability.

4. Divisibility: Good money material is that which could be divided into small units without losing any value.
5. Durability: The material which is use as money should be durable. It should not lose its value with the passage of time. The gold and silver coins do not wear out quickly and quality of money remains the same.

6. Economy: It is important quality of good money that it should be made economically. If there is heavy cost on issuing more money that is not good money material. Good money material is that has low cost and more supply. Paper money has this quality of economy.
7. Elasticity: Supply of good money material should be elastic whenever it is needed. It should be supplied easily paper money have this quality of elasticity.
Anonymous Profile
Anonymous answered
It must be DIVISIBLE- it must be possible to divide into smaller units if necessary.
It must be DURABLE- hard wearing
It must be PORTABLE- IT MUST BE CONVENIENT TO CARRY AROUND.
It must be ACCEPTABLE-people must agree to use it

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