Podcast
Questions and Answers
Why do people prefer to receive payments in money?
Why do people prefer to receive payments in money?
- Money can be easily exchanged for any commodity or service (correct)
- Money is lightweight and easy to carry
- Money has intrinsic value
- Money is immune to inflation
What are some examples of transactions involving money mentioned in the text?
What are some examples of transactions involving money mentioned in the text?
- Buying and selling goods
- Exchanging services
- Making promises to pay money later
- All of the above
- a and b only (correct)
In the context of transactions, what does the text imply about the importance of money?
In the context of transactions, what does the text imply about the importance of money?
- Money is a burden in transactions
- Money is the only form of transaction accepted
- Money facilitates the exchange of goods and services (correct)
- Bartering is more efficient than using money
What is the primary reason for a shoe manufacturer to exchange shoes for money before buying wheat?
What is the primary reason for a shoe manufacturer to exchange shoes for money before buying wheat?
What purpose does money serve in transactions?
What purpose does money serve in transactions?
Money is only used for buying and selling goods, not for exchanging services.
Money is only used for buying and selling goods, not for exchanging services.
A person holding money can easily exchange it for any commodity or service that he or she might want.
A person holding money can easily exchange it for any commodity or service that he or she might want.
The shoe manufacturer in the text exchanges shoes for money, and then exchanges the money for wheat.
The shoe manufacturer in the text exchanges shoes for money, and then exchanges the money for wheat.
The use of money in transactions makes it more difficult to exchange goods and services.
The use of money in transactions makes it more difficult to exchange goods and services.
Everyone prefers to receive payments in money and then exchange the money for things that they want.
Everyone prefers to receive payments in money and then exchange the money for things that they want.
