People have been using types of money for thousands of years as a form of trading. For example, a butcher could trade meat to a tailor in exchange for a new shirt. But if the butcher needs a new shirt, while the tailor doesn’t need meat, then the trade won’t work! Instead, the butcher can just give the tailor some money, which the tailor can then use to buy whatever he does need!
Early forms of money might surprise you. – Before paper money, people used things like shells, stones, fur, gold, and silver as their currency! “Money” can be any item with a value that is agreed upon.
Today, most money is paper money that has been specially printed by a country’s government. It gets its worth simply by being something that everybody agrees to use in exchange for goods and services! Since everybody uses money as their system for trading, everybody agrees to let it have value and be worth something!