Why is simply counting currency an inadequate measureof money?

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: Q2. The total amount of U.S currency in circulation divided by the U.S population comes out to about…

A: In monetary term, the money available for use in a nation is the circulation of money or money…

Q: In ancient Greece, why was gold a more likely candidate for use as money than wine?

A: Money is something which is has a general acceptability and is a common medium of exchange to buy…

Q: what tools are used by the central bank in Jamaica to affect the money supply

A: In the case of Jamaica, the 2 main operational tools are OMOs and reserve requirements. The Bank of…

Q: What proportions of your money balance are held for transactions, precautionary, and speculative…

A: Money is anything which can be used as a medium of exchange, store of value and unity of account.…

Q: Which of the following is NOT a function of money?   A. A medium of exchange   B. A…

A: Money is considered as the source of exchange for the attainment of goods and services. It is the…

Q: Which of the following is NOT included as M1 money?   A. Currency   B. Travelers checks…

A: Based on the liquidity the monetary authority defines the money. M1 money comprises very liquid…

Q: How do representative and credit money compare to commodity money

A: Representative money includes paper and coins. Credit money includes bonds and credit cards.…

Q: Write and explain the functions of money.

A: Money: It is anything which is widely accepted in exchange of goods or discharge of other kind of…

Q: Which of the following characteristics is true of paper currency? O It is the only type of money…

A: In an economy, money is exchanged in different forms such as paper money, coins, pr other monetary…

Q: What is the largest component of M1 money supply?   a.Travelers checks b.Demand deposits c.Coin…

A: Money supply refers to all the currency and other liquid monetary instruments in a country’s economy…

Q: What components of money do we count in M2?

A: Answer: Introduction: Money: Money is the stock of assets used for transactions. For instance,…

Q: Which of the following is true about money in the colonies? O Whether with friends or strangers,…

A: please find the answer below.

Q: what is the similarities and differences between money and currency

A: Money is anything that people use to buy goods and services. Currency is a physical form of money…

Q: Calculate the value of M2 given that the M1 measure of money supply is $85,000 and saving deposit…

A: The data presented in the question is:- M1 measure of money supply = $85,000 Savings deposit with…

Q: Which of the following is not included in the definition of M2 Y money? A) official deposits B)…

A: M2 money supply is the form of money that include liquid money and near money that can be changed to…

Q: An initial deposit of $10,000 at a ratio of 10% from currency in circulation, will lead to a maximum…

A: Given  Initial deposit D=$10,000 Required reserve ratio =10% In the money market, there are two…

Q: In an economy, the M2 measure of money supply is $88,000 and M1 is $66,000 We have to calculate…

A: The information being given is:- M2 = $88,000 M1 = $66,000 Saving deposit with post office Savings…

Q: The type of currency in circulation in the r O metallic money O commodity money silver certificates…

A: Definition: The US economy is a mixed economy. It works as per a monetary framework that describes…

Q: Q. M1 money is composed of... A. currency,demand deposits, traveller's checks, other checkable…

A: The M1 is known as the narrowest measure of the money supply as it only comprises cash with the…

Q: Fiat money is generally issued by O private banks. O central banks. O brokerage firms. O major…

A: Fiat money is money not backed by a commodity.

Q: What backs the U.S. dollar? Include the distinction between commodity money and fiat money in your…

A: An economic unit is considered to be money when it tends to function in an economy as being a medium…

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: Function of money

A: Meaning of Exchange Rate: The term exchange rate refers to the situation under which a particular…

Q: Which group in the federal goverment is responsible for counting M1 and M2 money amounts?   A.…

A: The USDT or the Department of the Treasury is the national treasury of the government of the U. S.…

Q: Distinguish between commodity money and fiat money

A: "Money act as a medium of exchange, store of value, a unit of account and a standard of deferred…

Q: Money as a means of payments refers only to: Answer a. Actual currency b. Coins and currency c.…

A: Money is a medium of exchange and it allows people to get what they want.

Q: M1 money is composed of... A. currency,demand deposits, traveller's checks, other checkable…

A: The M1 is the narrowest measure of the money supply as it only comprises cash with the general…

Q: What is Token Money

A: Money derives its value from government regulation. Generally, money is the medium of exchange that…

Q: All of the money that we use today is commodity money credit cards O fiat money with no intrinsic…

A: Fiat money is a government issued currency that is not backed by a commodity such as gold.

Q: What is the currency deposit rat

A: The total money stock of an economy is the sum total of the currency held by the public and…

Q: Define the components of money and it's measurements?

A: Money- a medium of exchange used in transactions made for good & services. It reduces double…

Q: Match the function of money with the definition Unit of Account Store of Value Medium of Exchange ::…

A: Money refers to a good that is widely accepted in exchange of goods and services. Money is used as…

Q: What are the defects of Indian money market?

A: The money market is a group of institutions, traditions, and conventions created to facilitate…

Q: Pls help with below homework.

A: Total Money Supply=$3302 billion Currency in circulation=$1600 billion Transactions account…

Q: “Whenever currency is deposited in a commercial bank, cash goes out of circulation and, as a result,…

A: The money supply in the economy of a nation on the date calculated is both the currency and other…

Q: the total amount of us currency in circulation divided by the us population comes out to about 3500…

A: The money supply refers to the circulation of money in the economic system where the individuals…

Q: What is the convertible paper money?

A: There are in total two types of representative money which are:- (1) Convertible paper money (2)…