Question 1

Increasing transactions costs of selling an asset make the asset ________.

Accepted Answer

A)   more valuable
B)   more liquid
C)   less liquid
D)   more moneylike

Question 2

When we say that money is a stock variable,we mean that ________.

Accepted Answer

A)   the quantity of money is measured at a given point in time
B)   we must attach a time period to the measure
C)   it is sold in the equity market
D)   money never loses purchasing power

Question 3

The evolution of the payments system from barter to precious metals,then to fiat money,then to cheques can best be understood as a consequence of ________.

Accepted Answer

A)   government regulations designed to improve the efficiency of the payments system
B)   government regulations designed to promote the safety of the payments system
C)   innovations that reduced the costs of exchanging goods and services
D)   competition among firms to make it easier for customers to purchase their products

Question 4

What is a cheque? what are their advantages and disadvantages?

Accepted Answer

A cheque is an instrument used to transf...

Question 5

The M1+ measure of money includes ________.

Accepted Answer

A)   small denomination time deposits
B)   chequable deposits
C)   money market deposit accounts
D)   money market mutual fund shares

Question 6

To an economist,________ is anything that is generally accepted in payment for goods and services or in the repayment of debt.

Accepted Answer

A)   wealth
B)   income
C)   money
D)   credit

Question 7

As a store of value,money ________.

Accepted Answer

A)   does not earn interest
B)   cannot be a durable asset
C)   must be currency
D)   is a way of saving for future purchases

Question 8

When economists say that money promotes ________,they mean that money encourages specialization and the division of labour.

Accepted Answer

A)   bargaining
B)   contracting
C)   efficiency
D)   greed

Question 9

The conversion of a barter economy to one that uses money ________.

Accepted Answer

A)   increases efficiency by reducing the need to exchange goods and services
B)   increases efficiency by reducing the need to specialize
C)   increases efficiency by reducing transactions costs
D)   does not increase economic efficiency

Question 10

Money is ________.

Accepted Answer

A)   anything that is generally accepted in payment for goods and services or in the repayment of debt
B)   a flow of earnings per unit of time
C)   the total collection of pieces of property that are a store of value
D)   always based on a precious metal like gold or silver

Exam 3: What Is Money

As a store of value,money ________.

Correct Answer
verified

The M1+ measure of money includes ________.

Correct Answer
verified

When we say that money is a stock variable,we mean that ________.

Correct Answer
verified

To an economist,________ is anything that is generally accepted in payment for goods and services or in the repayment of debt.

Correct Answer
verified

Money is ________.

Correct Answer
verified

The evolution of the payments system from barter to precious metals,then to fiat money,then to cheques can best be understood as a consequence of ________.

Correct Answer
verified

Increasing transactions costs of selling an asset make the asset ________.

Correct Answer
verified

The conversion of a barter economy to one that uses money ________.

Correct Answer
verified

What is a cheque? what are their advantages and disadvantages?

Correct Answer
verified
A cheque is an instrument used to transf...
View Answer

When economists say that money promotes ________,they mean that money encourages specialization and the division of labour.

Correct Answer
verified

Exam 3: What Is Money

As a store of value,money ________.

Correct AnswerverifiedShow Answer

The M1+ measure of money includes ________.

Correct AnswerverifiedShow Answer

When we say that money is a stock variable,we mean that ________.

Correct AnswerverifiedShow Answer

To an economist,________ is anything that is generally accepted in payment for goods and services or in the repayment of debt.

Correct AnswerverifiedShow Answer

Money is ________.

Correct AnswerverifiedShow Answer

The evolution of the payments system from barter to precious metals,then to fiat money,then to cheques can best be understood as a consequence of ________.

Correct AnswerverifiedShow Answer

Increasing transactions costs of selling an asset make the asset ________.

Correct AnswerverifiedShow Answer

The conversion of a barter economy to one that uses money ________.

Correct AnswerverifiedShow Answer

What is a cheque? what are their advantages and disadvantages?

Correct AnswerverifiedA cheque is an instrument used to transf...View AnswerShow Answer

When economists say that money promotes ________,they mean that money encourages specialization and the division of labour.

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
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Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
A cheque is an instrument used to transf...
View Answer

Correct Answer
verified