Podcast
Play an AI-generated podcast conversation about this lesson
Download our mobile app to listen on the go
Get App
Questions and Answers
Which of the following is NOT a characteristic of money?
Which of the following is NOT a characteristic of money?
- Portability
- Durability
- Intrinsic Value (correct)
- Divisibility
What is the primary function of money as a 'unit of account'?
What is the primary function of money as a 'unit of account'?
- To serve as a medium of exchange
- To provide a standard for measuring value (correct)
- To store purchasing power over time
- To act as a legal tender
Commodity money has no intrinsic value.
Commodity money has no intrinsic value.
False (B)
What is 'liquidity' in the context of money?
What is 'liquidity' in the context of money?
Signup and view all the answers
Which of the following is included in M1?
Which of the following is included in M1?
Signup and view all the answers
M2 is a broader measure of the money supply than M1.
M2 is a broader measure of the money supply than M1.
Signup and view all the answers
What is the role of the Federal Reserve (or central bank) in a country's monetary system?
What is the role of the Federal Reserve (or central bank) in a country's monetary system?
Signup and view all the answers
What is 'fiat money'?
What is 'fiat money'?
Signup and view all the answers
Credit cards are considered part of the money supply.
Credit cards are considered part of the money supply.
Signup and view all the answers
Flashcards are hidden until you start studying
