Cultural theory and the meanings of money :: Business and Management Studies

Cultural supposition and the meanings of moneyCouples and their money theory and practice in personal cash in handFour perspectives draw on* Economics and rational choice theory* Social structural approaches* Psychological approaches* Cultural theory and the meanings of money. According to classical economical theory money has quaternion main functionsit is a medium of exchange,a store of value,a unit of account,a standard of deferred payment.Perspectives within economic theory relevant to personal financesfungibilityThis notion is standard in classical economic theory and means thatmoney is considered to be neutral and interchangeable, so that anyunit of wealth is substitutable for any other (McCloskey, 1987). rational choice theoryThis assumes that people make reasoned choices in order to maximisetheir overall welfare or utility. Rational choice theory lays stresson the importance of information in facilitating the efficient workingof markets and of consumer choice. Daniel I ha ve a high pertain account with First Direct as well. Andthen I have another nest egg account which is slightly lower interest. The high interest savings account has a penalty on withdrawals, so Ikeep a sum of money in there stable which I foolt draw on. If I haveextra spending, or I need to top up my current account in case Imgoing overdrawn, that comes from the third, lower interest accountwhich I keep for small amounts. When I have a surplus at the end ofthe month in my current account I transfer across to the high interestaccount as much as I can. Daniels economic rationality extended to credit cards and Air Miles. He explained about his American Express bullion CardI use that for my purchases because I fetch Air Miles on that, so all mypurchases I get Air Miles and I transfer that to my various Air Milesaccounts. I originally got a G overage Card because they did a specialoffer, had one free for a year, and so I gave up after a year. SaidNo thank you. I dont want to pay fo r a card. Oh well, anothercard arrives free for a year, so I said, Fine.Pahl, J. (2001) Couples and their money theory and practice inpersonal finances, in R. Sykes, C.Bochel and N. R. Ellison, SocialPolicy Review 13, Policy Press Bristol.Rosie If Ive got to have dealings with them for money, I analogous toknow that its only a certain number of hours I like restrictions ofbanking hours I do quite like that. Im old fashioned, completelyopposite to Daniel. If he sees that something is wrong with one of