Content Quiz #2 3rd 6 Weeks Economics

Money or other substance generally accepted as payment for goods and services.

• Measure of value

• Medium of exchange

• Scarcity

• Store of Value

1 of the 3 functions of money that allows it to serve as a common denominator to measure value.

• Measure of value

• Store of value

• Divisibility

• Medium of exchange

1 of 3 functions of money allowing people to preserve value for future use.

• Store of value

• Divisibility

• Portability

• Measure of value

This can be used in place of money.

• Fiat money

• Federal reserve notes

• National currency

• Trading or bartering

One of the disadvantages of operating a barter system is that trading is

• taking place without currency.

• carried out in very large markets.

• limited by availability and demand of goods traded.

• conducted without consumer protections.

1. In bartering economies, people trade what they __________ for what they ___________.

• Own; buy

• Buy; sell

• Want; need

• Have; need

Money is a medium of exchange, measure of value, and store of value these are examples of?

• functions of money

• federal reserve notes

• formerly used currencies

• characteristics of money

The fact that a $10 bill received today will still be worth $10 100 years from now is an example of which function of money?

• Store of value

• Unit of account

• Medium of exhange

This type of money is valuable because it is made of something valuable.

• Commodity money

• Representative money

• Fiat money

This type of money consists of a certificate or token that can be exchanged for an item of value.

• Commodity money

• Representative money

• Fiat money