Ch. 10 Money and Banking

_____ refers to a failure to pay back a loan.

• Default

• Interest

• Principal

• Currency

_____ refers to objects that have value in themselves and that are also used as money. 

• Fiat money

• Gold standard

• Commodity money

• Savings and loan

Anything that is used to determine value during an exchange of goods and services is known as a(n) _____. 

• portability

• acceptability

• barter

• medium of exchange

_____ refers to the price paid for the use of borrowed money.

• interest

• default

• principal

• fiat money

_____ refers to the amount of money borrowed. 

• interest

• default

• principal

• fiat money

_____ refers to the direct exchange of one set of goods or services for another. 

• currency

• barter

• greenbacks

• loan

A(n) _____ is a specific type of loan that is used to buy real estate. 

• mortgage

• fiat money

• commodity money

• savings and loan

A(n) _____ is a bank that can lend money to other banks in times of need. 

• credit union

• savings and loan

• central bank

• Federal Reserve

A(n) _____ is a widespread panic in which great numbers of people try to redeem their paper money. 

• default

• bank run

• fractinal reserve banking

• credit union

A(n) _____ is a bank that belongs to the Federal Reserve System. 

• member bank

• credit union

• savings and loan

• greenbacks