Why Is Money So Important?


We all understand that money is important for survival. Without money we can’t live. But the most basic questions one needs to ask itself is:

Why is Money so Important?

Money gives you freedom & choices, this meaning that you can decide where and how you want to live when you have a good income or financial resources. On the other hand, when you do not have much money, choice may be something that you cannot afford. The choices available to you may not really be choices at all.With money, you can often rule today’s materialistic world. If you have enough money, poverty will never approach you. Contrary to what most people think, it is not money or the love of money which is the root of evil—it is greed, a love of power and authority & poverty.

This is why company's will often hire people that a extremely famous like Katy Perry or David Beckham to be the face of their comapany, as it would make people buy things from that business because people will think:

'We have to buy from that shop because thats were Katy Perry gets her outfits from'

Meaning that the vast majority of company's are extremely wealthy because say you walked into the clohtes shop next there are pictures of famous celebritys wearing their clothing, which tempts people to buy that peice of clothing.

You may now be asking yourself:

What if a business isn't getting this amount of money?

This means that a company/business is having a financial crisis. A financial crisis means:

The value of financial institutions or assets drops rapidly. A financial crisis is often associated with a panic or a bank run where investors sell off assets or withdraw money from savings accounts because they fear that the value of those assets will drop if they remain in a financial institution.

Comments (1)

  • Tiff-Avatar.jpg Tiff @ Topical Talk
    31 Oct 2018

    Thanks for your post. Good point about money giving more freedom.

    The financial crisis we are covering is a very specific set of events that happened in 2008. You'll learn about this in your sessions this half term.

You must be logged in with Student Hub access to post a comment. Sign up now!