Nature of money
"I have two sheep for three loaves of bread."
This is an example of what type of Money?
What is Commodity money
The government centralizes and determines the intrinsic value of ______
What is Fiat money
A digital currency whose value is determined by public interest, not the government.
What is Cryptocurrency
"I can supply your demand, and you can supply my demand."... This is an example of what type of system?
What is the Barter system
An asset that should retain its purchasing power over time...
What is Store of value
Person 1: "Man, I have this chair, but I sure would like some bread right now."
Person 2: "Man, I would love to sit down in a chair right now, but all I have is this bread."
This is an example of what?
What is double coincidence of wants
Gold has retained its value for hundreds of years through inflation and deflation. This is an example of a...
What is Store of value
A consistent standard of measuring the value of goods and services.
What is Unit of account
Includes currency in circulation, checkable (demand) deposits, and traveler's checks.
What is M1
Includes currency in circulation, plus savings accounts, small-denomination time deposits, and money market deposits.
what is M2
A consumer pays for groceries with a debit card. This is an example of what measure of money?
What is M1
Someone gets a check for their birthday, and they deposit it into their savings account. This is an example of what measure?
What is M2