Final answer:
A treasury in the context of ancient civilizations was an essential part of their economic system, serving as a storage place for gold, silver, jewels, and coins. These precious metals were used as commodity money and symbolized wealth and power. In U.S. history, gold and silver have physically backed the money supply, providing a tangible value to the currency.
Step-by-step explanation:
The store of gold, silver, jewels, coins often refers to a treasury, which historically was a vital part of the economic structure in ancient civilizations. These treasuries were located in places such as temples and palaces and were not just ceremonial or residential spaces but also crucial economic redistribution centers. Precious metals like gold and silver, along with jewels and coins, were valuable for their intrinsic worth and as commodity money, used across different cultures as a medium of exchange, a store of value, and a unit of account. Commodity-backed currencies were supported by these precious metals, meaning that currency once had a direct relationship with goods of real value, unlike much of today's fiat money system.
Significantly, these ancient storehouses were filled with goods collected from sectors like agriculture as taxes and then used to pay various civic employees, thus facilitating trade and economic stability within societies. Detailed records of these transactions were meticulously maintained by scribes, reflecting a complex economic system. In the context of commodity money, gold not only facilitated trade but also held a symbolical representation of wealth and power, often reflected in art and architecture through the use of luxurious materials like gold, silver, and lapis lazuli.
In the United States, gold and silver once backed the money supply, with notes such as the "Silver Certificate" offering a literal link to this value. These certificates promised holders the ability to exchange them for a specific amount of silver, representing a tangible connection between currency and commodity money. This direct backing of currency with commodities like gold provided a level of financial security and trust in the value of that currency.