Unit 3.1 Bank and money

Front

Money

Back

anything that generally accepted as a means of payment for goods and services

Front

barter

Back

the act of trading goods and services between two or more parties without the use of money

Front

Medium of exchange

Back

anything that sets value of goods and services and is acceptable to all parties involved in a transaction

Front

Measure of value / Unit of account

Back

the idea that money allows the value of different goods and services to be compared

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Standard for deferred payment

Back

enables people to borrow money and pay it back at a later date

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Store of value

Back

Allows wealth to be stores in the form of money over time

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Central bank

Back

the bank of the government which is responsible for controlling a country's money supply, issuing notes and coins and setting rules commercial banks must follow

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Interest rate

Back

the cost of borrowing money from a lender, and the reward for savings

Front

Base rate (BR)

Back

the interest rate that a central bank will charge to lend money to commercial banks and on which other financial organisations base their interest rates

Front

Quantitative easing (QE)

Back

where a central bank buys financial assets from banks and other private sector businesses with new electronically created money