100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
Previously searched by you
Previously searched by you
logo
money, banking, & Monetary Policy econ 111 || QUESTIONS AND ANSWERS 100% ACCURATE!! $11.09
Add to cart
Quickly navigate to
Preview
  2.  
  3. Econ 111
  4.  
  5. Econ 111

Exam (elaborations)

money, banking, & Monetary Policy econ 111 || QUESTIONS AND ANSWERS 100% ACCURATE!!
 0 purchase
  • Course
  • Econ 111
  • Institution
  • Econ 111

Money allows people to transfer dollars, and therefore purchasing power, into the future. This is an example of which of the 4 roles of money? correct answers Store of Value Money provides a common unit in which all prices and listed and all debts are recorded. This is an example of which of the...

[Show more]

Preview 2 out of 6  pages

Document information

  • August 20, 2024
  • 6
  • 2024/2025
  • Exam (elaborations)
  • Questions & answers

Subjects

  • money allows people to transfer dollars and there

Written for

  • Econ 111
  • Econ 111

Seller

avatar-seller
ProPerfomer

Reviews received

Content preview

money, banking, & Monetary Policy econ 111 ||
QUESTIONS AND ANSWERS 100% ACCURATE!!
Money allows people to transfer dollars, and therefore purchasing power, into the future. This
is an example of which of the 4 roles of money? correct answers Store of Value

Money provides a common unit in which all prices and listed and all debts are recorded. This
is an example of which of the 4 roles of money? correct answers Unit of Account

Money provides convenience in that it is what we use to buy goods and services. This is an
example of which of the 4 roles of money? correct answers Medium of Exchange

When a commodity with actual intrinsic value is used as money (or to back the value of
money) in an economy, that is known as what? correct answers Commodity Money

Money with NO intrinsic value is known as what? correct answers Fiat Money

Gold, silver, salt, spices, beaver pelts, and cigarettes (in prison) are all examples of what?
correct answers Commodity Money

When an economy uses gold as currency (or backs their currency with gold), that is known as
what? correct answers The Gold Standard

Today, the US Dollar is said to be what? correct answers fiat money?

How easily an asset can be sold/exchanged for cash is known as that asset's what? correct
answers Liquidity

What is the most liquid asset? correct answers Cash (paper/coin currency)

The M1 money supply includes which of the following?
Currency (paper/coin money)
Demand Deposits (checking accounts)
Other Checkable Deposits (e.g., travelers' checks)
Savings Accounts
Certificates of Deposits (CDs)
Money Market Mutual Funds
Gold
Valuable Paintings
Stocks & Bonds correct answers 1. Currency (paper/coin money)

2. Demand Deposits (checking accounts)
3. Other Checkable Deposits (e.g., travelers' checks)

The M2 money supply includes which of the following?
Currency (paper/coin money)
Demand Deposits (checking accounts)
Other Checkable Deposits (e.g., travelers' checks)
Savings Accounts

, Certificates of Deposits (CDs)
Money Market Mutual Funds
Gold
Valuable Paintings
Stocks & Bonds correct answers Currency (paper/coin money)
Demand Deposits (checking accounts)
Other Checkable Deposits (e.g., travelers' checks)
Savings Accounts
Certificates of Deposits (CDs)
Money Market Mutual Funds

In which definition of the money supply is currency (paper/coin money) that is in circulation
counted?
M1 only
M2 only
Both M1 and M2
Neither M1 nor M2 correct answers Both M1 and M2

In which definition of the money supply is currency (paper/coin money) that is INSIDE
BANK VAULTS counted? correct answers Neither M1 nor M2

In which definition of the money supply are checking accounts counted? correct answers
Both M1 and M2

In which definition of the money supply are savings accounts counted? correct answers M2
only

In which definition of the money supply are travelers' checks counted? correct answers Both
M1 and M2

In which definition of the money supply are stocks and bonds counted? correct answers
Neither M1 nor M2

In which definition of the money supply are money market mutual funds counted? correct
answers M2 only

In which definition of the money supply is gold counted? correct answers Neither M1 nor M2

Suppose you move $1000 from your checking account to your savings account.
(a) How does this impact the M1 money supply?
M1 increases
M1 decreases
M1 does not change

(b) How does this impact the M2 money supply
M2 increases
M2 decreases
M2 does not change correct answers M1 decreases

M2 does not change

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

Guaranteed quality through customer reviews

Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.

Quick and easy check-out

Quick and easy check-out

You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.

Focus on what matters

Focus on what matters

Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!

Frequently asked questions

What do I get when I buy this document?

You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.

Satisfaction guarantee: how does it work?

Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.

Who am I buying these notes from?

Stuvia is a marketplace, so you are not buying this document from us, but from seller ProPerfomer. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $11.09. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

68175 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 15 years now

Start selling
$11.09
  • (0)
Add to cart
Added