Economics 3 Test Review

Anything accepted as a method of payment is called

• barter

• dough

• credit card

• money

The government issues currency to facilitate an exchange of

• credit and debit

• bonds and cash

• goods and services

• income and resources

What is NOT a type of money used in the U.S.?

• Federal Reserve notes

• coins

• checks

• credit cards

Our nation's central bank is known as the

• Federal Reserve

• US Bank

• Town Bank

• Federal Authority

Who can bank at the Federal Reserve?

• citizens and immigrants

• lawyers and lobbyists

• gov't officials and other banks

• only the President

Financial institutions exchange money between who?

• gov't and entrepreneurs

• savers and borrowers

• investors and stockbrokers

The money you put into a financial institution is called a

• down payment

• deposit

• withdraw

The money you borrow from a financial institution is called

• an investment

• a stock

• a loan

What incentive does a bank give its customers for banking there?

• pay you interest on your deposit

• give you coupons

• offer discounts on purchasing a car

One function of the Federal Reserve is to keep inflation..

• high

• low

• going up