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Adam Smith Definition of Economics
Adam Smith said "Political economy is an inquiry into the nature and causes of wealth of nations. It discusses the production, consumption, distribution and.'" exchange of wealth."
Understand Society By Economics
Another reason for studying economics is to understand society better. Post and present economic decisions have an enormous influence on the character of life in a society.
Minor Functions That a Bank Performs
The bank also performs some minor function for earning profit which are:
Commercial Bank and Its Functions
A bank is an institution which deals in money. Normally the banks attract money from the people who have it in abundance and lend it to those who need it and use it productively.
Thursday, November 15, 2012
Banking Its Origin and evolution
Evolution of Banking
It has not so far been decided as to how the word 'Bank' originated. Some authors suggest that this word has been derived from the word Bancus' or 'Banque' which mean a bench. The explanation of this word has been related to the fact that the jews transacted the business of money exchange on benches in the market-place; and when the business failed the 'Bancus' was destroyed by the people. Incidentally the word 'Bankrupt' is said to have been evolved from this practice. Other authorities hold the opinion that the word 'Bank' is derived form the German word 'bane which means a Joint Stock fund. Later on the Germans occupied the major part of Italy and the word Banc was Italianized into "Bank".
It has not so far been decided as to how the word 'Bank' originated. Some authors suggest that this word has been derived from the word Bancus' or 'Banque' which mean a bench. The explanation of this word has been related to the fact that the jews transacted the business of money exchange on benches in the market-place; and when the business failed the 'Bancus' was destroyed by the people. Incidentally the word 'Bankrupt' is said to have been evolved from this practice. Other authorities hold the opinion that the word 'Bank' is derived form the German word 'bane which means a Joint Stock fund. Later on the Germans occupied the major part of Italy and the word Banc was Italianized into "Bank".
Sunday, November 11, 2012
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Money and Barter System
The use of money has converted a barter economy into a monetary economy. It has helped to remove the problems of barter system and specialization.
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Most Favourable Era For Gold Prices In Our Lifetime
Most Favourable Era For Gold Prices In Our Lifetime is right now.
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