UPSC CDS 1 2021 GK Paper

Money has taken various forms through the ages, but money consistently has three functions, they are:
• Store of value
• Unit of account
• Medium of exchange
The present-day economies use fiat money-money that is neither a commodity nor represented or ‘backed’ by a particular commodity. Even forms of money which share these function may be more or less useful based on the characteristics of money.