The metamorphosis of the forms of currency: Theoretical study of the effect of these instabilities on our contemporary economies

Abstract

The purpose of our study is to analyze the historical evolution of monetary systems, from barter to electronic money, in order to understand the impacts of the dematerialization of money on contemporary economies. Throughout history, the supply of essential goods has undergone a significant transformation. In the past, people engaged in bartering, directly exchanging goods to satisfy their daily needs. However, as trade multiplied, bartering became increasingly complex and impractical. This growing complexity prompted the need to create a reference of value, which gradually gave rise to the first forms of money. The evolution of monetary systems was a gradual process that spanned centuries. From the use of metal coins to banknotes, cheques, bank deposits and electronic money, money has continued to evolve to meet the changing needs of society. This historical transformation has been clearly oriented towards the dematerialization of money. Initially, exchanges were based on barter, but as transactions became more numerous, this method proved increasingly complex and impractical. Today, money mainly takes three distinct forms: coins for divisional money, banknotes, and bank balances held by economic players in various credit institutions for scriptural money. The increasing globalization of trade has fostered a trend towards the progressive dematerialization of money. This transformation reflects the changing needs of modern society, where electronic money and digital transactions occupy an increasingly prominent place in our global economy. The study of these monetary evolution is of great importance in understanding the impact of these changes on our contemporary economies.

Keywords: barter, forms of money, dematerialization, evolution.

JEL Classification: E40

Paper type: Theoretical Research.