Take a thousand dollars. In cash. Bury it in the backyard. Leave it for a week. Come back and dig it up. What’s happened to it? Most likely, not much.
Has it done you any good? not really. What about for others? no.
Take another thousand dollars. In cash. You have an hour to spend it. On whatever you want.
Then that thousand dollars has to get spent again. In the following hour. And again. And again.
What happens after 5 hours? That thousand dollars has been spent 5 times. It’s gone round through different hands, been exchanged for different goods and services. It’s fragmented and probably ended up in some faraway places. But it’s been spent. It’s been used.
A thousand dollars has been multiplied by 5.
All sorts of people have got a touch on it.
Circulation gives money it’s power and value.