Exam 3: What Is Money

A problem with barter exchange when there are many goods is that in a barter system

If an individual redeems a U.S.savings bond for currency

In a barter economy the number of prices in an economy with N goods is

The evolution of the payments system from barter to precious metals,then to fiat money,then to checks can best be understood as a consequence of the fact that

When paper currency is decreed by governments as legal tender,legally it must be

When money prices are used to facilitate comparisons of value,money is said to function as a

Introduction of checks into the payments system reduced the costs of exchanging goods and services.Another advantage of checks is that

An individual's annual salary is her

Patrick places his pocket change into his savings bank on his desk each evening.By his actions,Patrick indicates that he believes that money is a

Kevin purchasing concert tickets with his debit card is an example of the ________ function of money.

A hyperinflation is

If an individual moves money from a savings deposit account to a money market deposit account,

As a store of value,money

If an individual moves money from a demand deposit account to a money market deposit account,

An important characteristic of the modern payments system has been the rapidly increasing use of

________ is used to make purchases while ________ is the total collection of pieces of property that serve to store value.

During hyperinflations,

Money ________ transaction costs,allowing people to specialize in what they do best.

All of the following are necessary criteria for a commodity to function as money except

When economists say that money promotes ________,they mean that money encourages specialization and the division of labor.