| ng has become a very significant aspect of | | | | he doesn't really have so much money. If he |
| financial management for an individual, a business, | | | | owns a lot of land, useful tools, or goods that are |
| or the government. IT may be interesting to find | | | | in demand, then he is wealthy. |
| out how it all started by discussing the history of | | | | The need to exchange wealth from one tribe to |
| banking systems. | | | | another gave birth to banking. The process was |
| Barter trading and the first forms of money | | | | slow and the growth was inevitable. The history |
| Long time ago, there wasn't any currency to | | | | of banking systems has indeed gone through the |
| exchange with other people if there is to be an | | | | needle's eye but it has really grown through time. |
| exchange of goods. What the primitive people did | | | | First banking system |
| was to do barter trading. | | | | The very first system related to banking can be |
| Individuals can own properties out of any | | | | traced twelve thousand years ago in the era prior |
| ornaments like stones or shells that are shaped to | | | | to the Assyrian empire. There were evidence of |
| qualify as very good dŽcor. Those who | | | | records and accounts believed to be built around a |
| have these nice objects can exchange them for | | | | system that controls trade in that empire. This |
| other items they can make use of. This is the | | | | evidence was discovered in 1890 by a professor |
| root of trading and wealth acquisition. | | | | of Archaeology in the University of Pennsylvania |
| The individual barter extended between tribes in | | | | whose name was Doctor Heilprecht. |
| the event of surplus of utilities. If one tribe has so | | | | Most civilizations and empires rose and fell |
| much of an article that is useful to another tribe, | | | | according to how the wealth was successfully |
| there can be an arrangement to exchange the | | | | traded. Wealth is in the form of useful metals that |
| surplus with some very good pieces of | | | | were exchanged through channels and which also |
| ornaments. | | | | got affected by supply and demand. |
| But physical exchanges of things eventually | | | | As civilizations developed, people devised ways to |
| became too much of a burden so a system was | | | | grow as groups and it was during the eighteenth |
| developed to assign or transfer certain perceived | | | | and nineteenth centuries that people have |
| values to a token which can represent a certain | | | | engaged in producing things apart form those that |
| amount of wealth. That was how people | | | | are intended for personal use. People started |
| conceived the usage of money. | | | | producing against competition or in cooperation |
| Wealth refers to things that have inherent use. | | | | with others. |
| Land is very useful, so it is considered as a | | | | Each group would produce utilities for use of the |
| wealth. The deed that covers ownership of a land | | | | other group. The purpose then shifted and |
| is in itself, not the wealth, it is just an evidence or | | | | production was intended for exchange of |
| proof of wealth. | | | | commerce. Civilization, commerce or trade, and |
| A metal that has certain value or use for many | | | | tokens of wealth or money have all come to |
| people, like the gold, can be considered wealth. | | | | mean banking. |
| During those times, a man is very wealthy though | | | | |