Black
The definition of specie in relation to the study of economics
What is money in the form of gold or silver coin.
The definition of fiat money
What is money issued by the government.
A characteristic of money
What is divisible, portable, or durable
The common name for banknotes issued by the federal government in the United States that are to be used for payment of all debts, public and private.
What is CASH MONEY
Congratulations you just got 1000 points.
JK, pick another category.
In banking, the term CD stands for
What is Certificate of Deposit
Most banks are considered sole proprietorships, partnerships, or corporations
What is corporations
The risk of ending up with the equivalent of a never-ending loan is one of the disadvantages of using a ________ card.
money by government decree; has no alternative value or use as a commodity (fiat, commodity, specie, wampup)
What is Fiat Money
Form of business organization that has all the rights of an individual, except for the right to vote. (sole proprietorship, partnership, corporation)
What is corporation
T/F A $1 bill is considered fiat money
What is True
Of the following choices, which is considered a DDA?
Credit Card
Smart Card
Checking Account
Savings Account
What is Checking Account
(T/F) Most banks prefer not to have online options for their customers' convenience.
System in which the basic unit of currency is equivalent to, and can be exchanged for, a specific amount of gold
What is Gold Standard
Which statement best explains why money was invented?
Money was invented to facilitate the exchange of goods and services.
Money was invented to support a barter economy.
Money was invented to strengthen government power and control.
What is Money was invented to facilitate the exchange of goods and services.
Easily being able to carry money in a wallet or purse satisfies which characteristic of money?
What is portability
Separating a dollar into 4 quarters represents this characteristic of money
What is divisibility
This small feature is slowly replacing the magnetic strip on the back of credit and debit cards
What is Smart Chip or Smart Card
This card can be used to withdraw funds on demand from a checking account
What is Debit Card
How do financial intermediaries act as the middleman between borrowers and savers?
What is Financial intermediaries provide financial services for both savers and borrowers.
Printed on a Federal Reserve note is this statement: “THIS NOTE IS LEGAL TENDER FOR ALL DEBTS, PUBLIC AND PRIVATE.“ This reflects money’s function as (medium of exchange or store of value)
What is medium of exchange
Which of the four parts of the financial system (savers, investors, financial institutions, financial assets) is the most important?
What is they are all equally important and work together to form the financial system.
privately owned, publicly controlled, central bank of the United States
What is the Federal Reserve System (Fed)
A government institution that provides insurance on customers' checking account balance.
If you took away the financial institutions (banks) segment of the financial system, what would happen to the financial system?
What is it would no longer work because financial institutions, like banks and credit unions, give out loans and allow people to open savings accounts. Without these services, the financial system could not be sustained.