E-Money and Electronic Payments System Quiz

What is the main characteristic of commodity money?

Why might an individual be willing to save their cigarettes in the context provided?

What is a disadvantage of electronic money as mentioned in the text?

In the evolution of the payments system, what is likely to precede the use of paper currency?

What is declared legal tender by governments but is not convertible into coins or precious metals?

Legally, what must governments do when paper currency is decreed as legal tender?

Which of the following best describes how recent financial innovation has impacted the Federal Reserve's job of conducting monetary policy?

As the pace of financial innovation quickens, how does defining money become?

What are monetary aggregates?

Which is the narrowest monetary aggregate reported by the Fed?

What does the currency component of the U.S. M1 money supply include?

What are the components of the U.S. M1 money supply?

Which of the following is considered a form of e-money?

What is a smart card equivalent to in terms of traditional currency?

Why has the paper payments system not been completely replaced by electronic payments systems?

What slows down the transition to a system where all payments are made electronically?

Which payment method is NOT classified as e-money?

What differentiates e-money from traditional physical currency?