2-4/2-4a
Two widely used types of money through time?
Gold and Silver
Money, M1=?
currency + checkable deposits
Commodity Money?
Money that has some other use other than being a medium of exchange, being a unit of account, and having a store of value
Time value of money?
Money received today has a higher value than money received in the future
are currencies considered money all the time?
No
In 1998, 50% to 75% of “exchange in industry was?
Some type of commodity money, including Russian Vodka
It consists of two components?
Currency and All checkable deposits
For any asset to function as money, the following criteria must be met?
Dvisible or Portable
What happened in Russian Ruble Crisis of 1999?
people used different forms of commodity money, turned away from using the ruble
To get you to defer your consumption to the future?
I have to compensate you
What is the meaning of Official semi-dollarization?
another country’s currency is legal tender
If the supply increases too rapidly it?
triggers inflation