Dave's ESL Cafe's Student Discussion Forums

[jasonlulu_2000]

A well known speaker started off his seminar by holding up a $20 bill. In the room of 200, he asked "What is this piece of paper and is it worth anything?" "It is a $20 bill, which can be cashed in international & national markets for it's quoted value?" replied one of the many participants who raised their hands.

How can a bill be cashed since it is cash in itself?

As far as I know, only cheque, postal order can be cashed. Am I right?

thanks.

[pugachevV]

I think spent would have been a better word.

English paper money used to say on it, something like: "The Bank of England promises to pay the bearer, on demand, the sum of Five Pounds."

This was when English coinage was made of Gold, silver and copper
and had an intrinsic value. Paper money was similar to a promissory note. In theory, if you took paper money to the bank, they would give you its equivalent in gold and silver coins, if you asked them to. This was how you cashed paper money.
Nowadays, all money in circulation is intrinsically worthless, except for some collector's items, such as the South African Rand gold coins. Also it is continually being devalued by governments by such dishonest means as, "Quantitive Easing" (QE) as we are seeing in Europe, currently, which means printing money we don't have..
This gives rise to inflation, social instability and suffering, as in Greece. Spain, Portugal, Ireland.