What is the most important factor for Federal Reserve currency to be accepted as money?
A) its acceptance by businesses and households in the United States in exchange for goods and services
B) its designation as legal tender by the federal government
C) the willingness of the federal government to accept it in exchange for an equivalent amount of gold or silver coins
D) the willingness of foreign businesses and banks to accept it in exchange for goods and services
A
You might also like to view...
Refer to Table 10-2. Using the table above, what is the approximate growth rate of real GDP from 2014 to 2015?
A) 1% B) 2% C) 3% D) 4%
The Social Security system is financed by
A) a tax on individual retirement accounts. B) a payroll tax paid only by employers. C) a payroll tax paid by both employers and employees. D) a tax on luxury goods.
The total lag for fiscal policy tends to be shorter than the total lag for monetary policy
a. True b. False Indicate whether the statement is true or false
Planned aggregate expenditure is total:
A. income of households, businesses, governments, and foreigners. B. planned spending on final goods and services. C. value added in the economy. D. revenue from the sale of goods and services.