Which of the following is a function of money? a. a unit of account b. medium of exchange c. a store of value d. All of the above are correct.

Q: For the following list of items, indicate if they are in M1, M2, or neither: a. Your $5,000 line of…

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub- parts…

Q: Could each of the following items potentially serve as money? Consider each as a medium of exchange,…

A: As we answer only three subparts and the question has more than 3 subparts, we would be answering…

Q: Give typing answer with explanation and conclusion Could each of the following items potentially…

A: Money is used as the currency for buying goods and services. Money replaced the barter system.

Q: Set forth and describe two of the basic qualities needed for any item to be used as money.

A: Money is a resource or asset that is accepted and used as an exchange medium to buy commodities and…

Q: How are bananas used as a form of money in Bananatown? A. Bananas function as a unit of account and…

A: Money refers to the medium of exchange. Money is accepted as payments for goods and services in an…

Q: You can walk into any department store and compare prices on jeans. Which of the following functions…

A: Money as a unit of account, or measure of value refers to that function of money that helps us to…

Q: Name any item that is a store of value, but does not serve the other functions of money. Explain…

A: "The three main functions of money are a medium of exchange, store of value, and a unit of account."

Q: Gold and silver have been historically used as materials for making commodity money (coins) by many…

A: The functions of money can be sub-divided into primary functions and secondary functions. The…

Q: An advantage that money has over other assets is that it:   a. Provides a higher return to the owner…

A: Money functions as 1) unit of account 2) medium of exchange 3) store of value 4)  payments to be…

Q: Mr. Bill Smith lives in Dayton Ohio and always deposits money into a checking account in a bank…

A: (a) The concept of Money Multiplier effect basically shows the level of money creation or supply in…

Q: Which of the following is not a function of money?     a. Unit of account     b. Store of value…

A: Money is anything that is accepted for payment by people.

Q: Explain why credit cards are not considered as money.

A:

Q: An advantage that money has over other assets is that it: Answer a. Provides a higher return to the…

A: Money can be termed as a medium of exchange used for the transactional purposes of goods &…

Q: In our daily life we use credit cards and debits cards for payments. Are credits cards considered…

A: Anything that is extensively used as a medium of exchange and accepted as payment is considered to…

Q: Suppose a consumer has the following indirect utility function: v (p, w) = wp, p₂², where w > 0…

A: The purpose of this question is to mainly analyze consumer behavior, derive standard demand…

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: Write a post that explains why money is not the universal measure of all value.

A: Money is the major consideration for all the people in today’s world. Without money the people…

Q: Money can be used to transfer purchasing power from the present to the future. Which specific…

A: Meaning of Money: The term money is all about the transaction (in terms of cash) or it can be…

Q: Debit cards allow an individual to transfer funds directly in a checkable account to a merchant…

A: Money:Money refers to anything which is accepted by the people as a medium of exchange. It could be…

Q: Views on electronic money, or e-money, and digital cash

A: Money is a medium of exchange and is accepted as payment of any product or service.

Q: Explain each of the following types of deposit accounts: a.demand deposit b.certificate of deposit…

A: A bank is an institute which deals in credit and money creating of the economy. It provides the…

Q: How has bitcoin evolved over time, and how may it evolve further in the future? Does it fully fulfil…

A: Bitcoin is a decentralized computerized currency that takes into consideration peer-to-peer…

Q: Which of the criteria for being used as money in a modern society does each of the following not…

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

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: Why were cowrie shells considered a good form of money for centuries a. They are durable b. They are…

A: Money/currency refers to that  common medium of exchange which has certain properties like :…

Q: If raw whole eggs of uniform size  were used as money, which of the following functions of money…

A: If raw whole eggs of uniform size are used as money, they could be used as a medium of exchange as…

Q: amping store, reviews a price list of various camping supplies before placing an order B. Tonya…

A: Unit of account means money serves as a common medium or unit of account for comparison .  Money…

Required Reserve and Excess Reserve Analysis

A required reserve is an amount of cash that banks must keep with themselves, which is certain percentage of the deposits made by their customers. Required reserve is a percentage of the bank's deposits that the respective bank must have on each overnight. The percentage rate is set and determined by the nation’s central bank. It is important to have such funds accumulated to meet its uncertain obligations, sudden liabilities and withdrawals. Required reserve is also known as reserve ratio. Reserve ratio is an important tool to control the money supply.