Money, Banking, Financial Assests

Which is NOT a use of money?

• medium of exchange

• unit of account

• store of value

• fuel for fires

What makes money divisible?

• ability to make exact change in transactions

• it can be divided to pay for goods and services

• every bill and coin of the same denomination looks the same

• it has the ability to be carried in pockets.

What type of money does the US use?

• commodity money

• representative money

• fiat money

• specie

What is an example of commodity money?

• cattle

• cotton

• corn

• tobacco

What did the Federalists believe about a national bank?

• They wanted a strong, centralized national bank

• They wanted states to charter their own banks

• They thoughts that banks were unnessecary

• They wanted banks to be private

What was the US gold standard?

• gold could be used as a form of payment as commodity money

• a monetary system in which a single unit of money was worth a certain amount of gold

• a US bank crisis in 1879 in which US banks were shut down due to a lack of gold reserves

• a printed note also called a "greenback"

How many regional banks are a part of the federal reserve?

• 14

• 50

• 8

• 12

How does the Federal Reserve change monetary policy?

• change the amount of money in circulation

• declare a change in federal income tax levels

• decide that banks shall hand out more loans at lower interest rates

• give out free money to people who ask nicely

Which regional Federal Reserve Bank is Denver in?

• Atlanta

• Dallas

• Minneapolis

• Kansas City

What is the name of the interest rate charged to banks from other banks for loans?

• discount rate

• federal funds rate

• growth rate

• profit rate increase level