Banking
The institution that provides loans and protects deposits.
What is a commercial bank.
The market where people exchange different currencies.
What is foreign exchange?
The system of exchange used, where goods and services were traded for other goods and services.
What is barter?
A medium of exchange that is widely accepted.
What is money.
What is a time you may have engaged in foreign exchange?
What is travel, buying online, or sending money.
The institution responsible for managing a country's finances.
What is the treasury.
The increase in demand for a currency based on travel.
What is tourism.
The 3 primary resources used commonly for resource money.
What is salt, cowrie shells, and gold.
The system of money in general use in a particular country.
What is currency.
The percentage of inflation that is healthy for the economy.
What is 2%
The department within the treasury responsible for producing money and coins.
What is the Mint.
The two factors that determine price for a currency.
What is supply and demand.
What is a service.
The amount a borrower must pay back for getting a loan from a commercial bank.
What is interest.
Which economic system is characterized by private or corporate ownership of goods and means of production?
What is capitalism.
The institution that is responsible for managing money supply and providing goverments with loans.
What is the central bank.
The increase in supply for a currency that causes the exchange rate value to decrease.
What is inflation.
What is a raw material or primary agricultural product that can be bought and sold, such as copper or coffee.
What is a commodity.
What are 3 qualities of good money?
Perishability
Durability
Transportability
Divisibility
Uniformity
The percentage a bank must keep on hand, to provide cash to customers. The rest they can loan out.
What is reserve ratio.
The tool central banks use to control the amount of money in the economy.
What are interest rates.
How much money is traded on the foreign exchange every day.
What is 6.6 trillion dollars.
The profit made by a government by issuing currency. For example, when a country prints a $100 bill that costs $1.
What is Seignorage.
The country that allowed inflation to increase during following World War 1.
What is the Weimar Republic.