Which of the following statements is true? O The necessary condition required for money to function as a medium of exchange is that it also needs to be a store of value. O The hours of labor that go into producing a product are a better unit of account than paper money. OOne of the limitations of using money is that it does not allow for the transfer of purchasing power into the future. O When money is used as a yardstick to describe the price of various goods and services, it serves as a store of value.
Which of the following statements is true? O The necessary condition required for money to function as a medium of exchange is that it also needs to be a store of value. O The hours of labor that go into producing a product are a better unit of account than paper money. OOne of the limitations of using money is that it does not allow for the transfer of purchasing power into the future. O When money is used as a yardstick to describe the price of various goods and services, it serves as a store of value.
Chapter25: Money, Banking, And The Federal Reserve System
Section: Chapter Questions
Problem 3P
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