yes
your teacher is correct
this also gives you a greater understanding of how capitalism works
Not necessarily true.
The US dollar increased in value against other currencies during the first Gulf War...
In general, money - any money - only has value so long as people agree that it has value and are willing to accept it in exchange for goods or service.
Because the value of money lies in the quality/quantity of goods it buy at a particular period of time. When there is war nobody sells and nobody buys. Money becomes useless when you are being chased with gun.
Only when it comes to the ultimate collapse of the system, like say in 3rd reich in 1945. Until then money is the main driving fuel of the war.
No.
Not all countries are at war and they still have economies.
Like China for example.
Yes it does, basically that happens because the infrastructure stops(so stores aren't supplied, gas-stations run out, banks close down) so people need to share, or perish.
Basically humanity gets thrown back into survival mode, and the structures we know from every day life, simply cease to exist.
My teacher told me that money lose it's value in countries that are at war is that true? And how?
