Money (Economics)

​ (a)   is an asset that is used primarily for ​ (b)   , not consumption.

• Medium of Exchange
• trade
• Store of Value
• Unit of Account
• measure
• value
• payments

Match the following

• Provides a common measure of value.

• Unit of Account

• It must maintain its purchasing power when not in use.

• Store of Value

• Eliminates the need for double coincidence of wants.

• Medium of Exchange

Match the following Types of Money

• A good used as money in exchange for something else. Barter.

• Fiat Money

• Has no intrinsic value and cannot be exchanged for valuable goods.

• Representative Money

• Ownership of valuable goods but has no value.

• Commodity Money

A Divisible Characteristic of Money is...

• It can be broken into smaller parts.

• It can be transported

• People accept it as payment.

• It is relatively hard to obtain.

• It lasts a long time.

A Portable Characteristic of Money is...

• It can be broken into smaller parts.

• It can be transported

• People accept it as payment.

• It is relatively hard to obtain.

• It lasts a long time.

An Acceptable Characteristic of Money is...

• It can be broken into smaller parts.

• It can be transported

• People accept it as payment.

• It is relatively hard to obtain.

• It lasts a long time.

A Scarce Characteristic of Money is...

• It can be broken into smaller parts.

• It can be transported

• People accept it as payment.

• It is relatively hard to obtain.

• It lasts a long time.

A Durable Characteristic of Money is...

• It can be broken into smaller parts.

• It can be transported

• People accept it as payment.

• It is relatively hard to obtain.

• It lasts a long time.

A Stable Characteristic of Money is...

• It can be broken into smaller parts.

• It can be transported

• Its value stays constant over time.

• It is relatively hard to obtain.

• It lasts a long time.

A Uniform/Fungible Characteristic of Money is...

• It can be broken into smaller parts.

• All units are equal/ or equivalent

• People accept it as payment.

• It is relatively hard to obtain.

• It lasts a long time.