Money, Banking and Monetary Policy

Front

What is the exchange of one person's goods or services for another's?

Back

barter

Front

What kind of money is usually the first step out of a barter system?

Back

commodity

Front

Which of the following is not one of the three functions of money in economics? measure of value, means of storing purchasing power, means of payment, measure of social power

Back

measure of social power

Front

In order for money to have value, it must have all of the following characteristics EXCEPT: portability, durability, divisibility, plentiful availability.

Back

plentiful availability.

Front

This is money that has another useful purpose.

Back

commodity

Front

The United States once had silver certificates that were redeemable for silver held in the national treasury. What type of money was this?

Back

representative money

Front

The difference between representative money and fiat money is that

Back

representative money is backed by silver or gold; fiat money is not.

Front

Which of the following factors keeps a fiat money system functioning? less governmental intervention, a limited quantity of money, the availability of credit, increased federal reserves

Back

a limited quantity of money

Front

Legal tender refers to

Back

items that creditors must accept as payment.

Front

Who proposed the first National Bank?

Back

Alexander Hamilton