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In most major economies using coinage, copper, silver and gold formed three tiers of cash. Gold coins have been used for giant purchases, fee of the army and backing of state activities. Silver cash were used for midsized transactions, and as a unit of account for taxes , dues, contracts and fealty, whereas copper cash represented the coinage of common transaction. This system had been used in historical India since the time of the Mahajanapadas In Europe, this system worked by way of the medieval period because there was virtually no new gold, silver or copper launched by way of mining or conquest. citation wanted Thus the general ratios of the three coinages remained roughly equal.
Medium of exchange: Medium of change is just refers, utilizing of … Read more