If you put a $20 bill in the pocket of your winter coat at the beginning of spring so that you will be surprised when you find it again next winter, you are using money as:
A. a medium of exchange.
B. a store of value.
C. bank reserves.
D. a unit of account.
Answer: B
You might also like to view...
Paul has started a small software company and has used his personal savings and personal loans from banks and relatives so far. However, a substantial amount of money is still needed to fund expansion if Paul's company is to have a chance to grow and succeed. Briefly describe four different sources of capital, and explain which one you think Paul will use.
What will be an ideal response?
What are the shortcomings or limitations of the “four-firm” concentration ratios?
What will be an ideal response?
When two goods are complementary goods, as the price of one of the goods goes ______, the quantity demanded of the other goes ______.
A. down; down B. up; up C. up; down D. down; neither up nor down
Labor hoarding occurs when
A. because of hiring and firing costs, firms retain workers in a recession that they would otherwise lay off. B. involuntary unemployment exceeds voluntary unemployment. C. the unemployment rate exceeds the natural rate of unemployment. D. firms keep good workers so other firms can't hire them.