Test Your KnowledgeWhat Is Money Click on the letter choices to test your understanding
Question 1 • Medium of exchange, unit of account, and store of value are all:
Question 2 • Anything that is widely accepted as a payment for goods and services is considered:
Question 3 • Which of the following does NOT describe a characteristic of money?
Question 4 • Which type of money is used in the United States?
Question 5 • One of the biggest problems with barter is that it requires:
Question 6 • Different measures of money are characterized by different degrees of what?
Question 7 • What happens if we have too much money in the economy?
Question 8 • M1 and M2 are:
Question 9 The most liquid of assets—consisting of currency held by the public, traveler’s checks, demand deposits, and other checkable deposits—is:
Question 10 M1 plus savings deposits, money market deposits accounts, small-time deposits, and money market mutual funds is: