Currency is different from money in that currency______  A)is a note representing the worth of actual money B) is universally the same everywhere cannot be  C)duplicated or counterfeit D) is not a means of payment

Q: The terms are measures or individual components of the money supply. Place these items from largest…

A: The terms are measures or individual components of the money supply. Place these items from largest…

Q: The money supply includes all of the following EXCEPT a.Metal coins b.paper currency c.lines of…

A: The money is considered as the highly liquid asset which is used as medium of exchange for…

Q: The M1 money supply is composed of    all coins and paper money held by the general public and the…

A: In macroeconomics, money is important as it is used to carry daily transactions and for making…

Q: Which of the following is not included in M1? coins credit cards paper money O checking deposits

A: M1 money supply is the narrow form of money that only include cash and liquidity Monetary…

Q: Item Billions of Dollars Checkable Deposits $597 Small Time Deposits 818 Currency 639 Money-Market…

A: The M2 money supply is relatively broader money supply measure than M1 money supply because it…

Q: The functions of money are * a. medium of exchange, unit of account, and means of payment b.…

A: Money is the most liquid form of asset which can be used to buy goods and services.

Q: if the (actual) reserve ratio is less than the reserve requirement, excess reserves.........…

A: The banking sector in the economy is considered to be one of the most important sector. The banking…

Q: Assume that the currency-deposit ratio is 0.5, the required reserve ratio is 0.1, and the excess…

A: We have been given that:- Currency deposit ratio(CD)=0.5 Required reserve ratio(RR)=0.1 Excess…

Q: Billions of Item Dollars Checkable Deposits Seall Time Deposits Currency Honey-Market Mutual Funds…

A: Here we calculate the Size of Money Supply M2 by using the given information , so the calculation of…

Q: Which of the following characteristics is true of paper currency? O It is the only type of money…

A: In an economy, money is exchanged in different forms such as paper money, coins, pr other monetary…

Q: Which statement is not true?   Commodity money cannot be fiat money and vice-versa.   Commodity…

A: Money is something which is widely accepted by general public. It performs the various function such…

Q: priced at $1,299, and the vacation is p $750. He has only $1,537 in his checking account, so he…

A: Money is a commodity accepted by general consent as a medium of economic exchange. It is the medium…

Q: Why should the lack of conversion of denominations of one class of shells into another class among…

A: In a specific country or socio-economic setting, money is any commodity or verifiable record…

Q: Trace the development of money (a) barter (b) commodity and (c) fiat money, explain the role of…

A: In a transactional economy, money is an economic unit that acts as a commonly acknowledged method of…

Q: This means that money is something which can be kept for long periods without deterioration or…

A: In economics, money is defined as a commodity which generally and widely accepted as a medium of…

Q: Explain the different determinants of money supply in a country.

A: Money Supply refers to the stock at a particular point of time, though it conveys the idea of a flow…

Q: Money is "created" when a depositor gets cash from the bank's ATM a bank accepts deposits…

A: Money is the common medium of exchange which is generally accepted in the whole country and backed…

Q: Which of the following statements is INCORRECT?   (a) M1 consists of coins, notes and demand…

A: In macroeconomics, money is important as it is used to carry daily transactions and for making…

Q: The concept of money as a “unit of account” involves the use of money to   a. speed transactions.…

A:

Q: Explain how to use an open market operation to expand the money supply.

A: Money supply refers to the total sum of money held by the public in the economy at a point in time.…

Q: Anything can be money if it acts as aa. unit of account.b. store of value.c. medium of exchange.d.…

A: The money demand curve shows the inverse relationship between interest rate and quantity of money…

Q: creation of in new money (M1). Again, do not include the initial deposit in the

A: What is a money multiplier? As we know that commercial banks lend their excess money as a loan to…

Q: Currency held in the vault of a Bank like Wells Fargo is: a) counted as part of both M1 and M2 b)…

A: Vault cash is not money in circulation.Therefore it is not included in any of the money supply…

Q: What backs the U.S. dollar? Include the distinction between commodity money and fiat money in your…

A: An economic unit is considered to be money when it tends to function in an economy as being a medium…

Q: Which of the following is not one of the three functions of money? Medium of Exchange Credit for…

A: Money has three important functions.

Q: Deposits of Australian dollars held at authorised deposit-taking institutions are government money…

A: Money Supply: - In an economy, the total value of money in circulation at a point in time is known…

Q: Money: Only has a function of a medium of exchange represents banknotes, coins, deposits, money…

A: The need of double coincidence of wants is easily avoided by the use of money. It has removed the…

Q: True or False: When you deposit currency in a checking account, cash goes out of circulation and the…

A: Answer to the question is as follows :

Q: Which of the following could not be used as commodity money A. Gold coins B. Camel cigarettes C.…

A: The US currency is not used as commodity money because commodity money is the money that also has…

Q: Which of the following options best defines money? Explain briefly. a) Paper currency or coins that…

A: Money refers to a medium of exchange of goods and services in an economy. It means that any good or…

Q: _______ is the most liquid measure of money supply

A: There are in total 4 measures of money supply which are:- M1 , M2 , M3 and M4   These are divided…

Q: The monetary base 1, includes exchange settlement accounts, but not bank deposit liabilities. 2,…

A: Answer: 5, includes only physical currency in circulation and bank vault money.

Q: Compare and contrast representative money, credit money and commodity money

A: Representative money:- It can be defined as the means of commerce, frequently printed on paper, that…

Q: Currency $ 100 billion Bank reserves 200 billion Checkable deposits 800 billion Time deposits 1,200…

A: Here we calculate the all terms by using the given data so the calculation of the following terms by…

Q: M1 money is composed of... A. currency,demand deposits, traveller's checks, other checkable…

A: The M1 is the narrowest measure of the money supply as it only comprises cash with the general…

Q: Indicate which of the functions of money (a medium of exchange, a unit of account, and a store of…

A: A medium of exchange is an instrument that is used in intermediate or a system that is used to…

Q: Do federal gold reserves count as M1 money?   A. No, gold is not part of M1 money   B. No, but…

A: At a particular point of time, the total value of available money in an economy is the money supply…

Q: A rapid rate of growth of money results in  a. constant prices. b. depression. c. inflation. d.…

A: Money supply refers to the circulation of money held by banks and individuals.

Q: Match the function of money with the definition Unit of Account Store of Value Medium of Exchange ::…

A: Money refers to a good that is widely accepted in exchange of goods and services. Money is used as…

Q: Why can fiat money be successfully used as a currency despite the fact that it has no intrinsic…

A: The money of any type, when used or circulated as a means of trade, particularly rotating notes and…

Q: Commodity money is a form of currency in which the value of the currency comes from the material of…

A: Commodity value is the value of money which comes from commodity it's made of. Example : Gold and…

Q: Which of the following is effective? A) Checks issued in foreign currency B) Foreign currencies in…

A: The currencies and the various notes would result in the addition to the money supply in the…