Which of the following is a primary function of money? * a. to reduce the burden of excessive imports b. to serve as a unit of account c. to serve as an encouragement to work d. to raise funds for the government

Q: what is the benefit if the commercial banks create new money?

A: Money refers to the economic unit that is used to make exchanges and to set the value of any…

Q: Which of the following statements about money that is​ correct?   A. Credit cards and debit cards…

A: Money can be anything that can be used as a medium of exchange and that must be generally accepted.

Q: What is the effect of inflation on the real value of money? a. Decrease b. Not related c. No effect…

A: Inflation is an increase in the general price level.  It decreases the purchasing power of the…

Q: What are Private Banks? A. The central bank and regulatory body and are responsible for the issue…

A: Banks are the financial institutions which are engaged in financial activities like accepting…

Q: It is the increase in the prices for goods and services from one year to another, thus decreasing…

A: Inflation rate is the rate at which the prices of goods and services in an economy rise over time.…

Q: One of the principle functions of money is that it serves as a “store of value." This role could be…

A: Money is anything that can be used as a medium of exchange. It is accepted by people and can be used…

Q: Explains it correctly Money such as Money Demand, Money Creation and banking, Monetary and Fiscal…

A: Money: Money is considered an object that is generally accepted as a medium of exchange. It was…

Q: according the concepts of Islamic finance and banking ,explain 2 ways that can raise enough capital…

A: Islamic finance and banking refer to how firms and individuals respond in accordance with Sharia or…

Q: Which of the following would indicate that the dollar amount being analyzed is money?   a. M1 money…

A: Money refers to anything that accepted for transaction of goods and services.

Q: Need answer ASAP... Abdul borrowed money from a company that keeps money for people. This source of…

A: Meaning of Financial Assets: The term financial assets refer to the situation, under which these…

Q: 5. Dena won $1,000 at a bingo game. She deposits her $1,000 winning into a money market fund so…

A: Money is a commodity used in transactions for buying and selling of goods and services. There are…

Q: Which ones of the above economic factors will increase money supply? Which ones of the above…

A: The economic factors that will increase the money supply: c. Expected inflation - If there is…

Q: Mona is saving money for college. Each week she doubles the amount of her deposit. If her first…

A: Amount deposit = $5 total deposit = 6

Q: The following questions relate to Monetary Systems   What is the relationship between Factor…

A: International factor mobility is a sort of international integration and a trade in factors. The…

Q: 1. What is the similarities of cureency and money? (Explain in simple words)

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Money is not an economic resource because:    a. Money, as such, does not produce anything.    b.…

A: According to economic definitions, money is a good that acts as a store of value and a means of…

Q: The use of money makes us more efficient because: Answer a. We spend more time trading and more time…

A: Money: The word money refers to anything that is used in the transactions or acts as the medium of…

Q: expain the Interrelationship between money markets and capital markets .give examples

A: Trading in extremely short-term debt assets is referred to as the money market.It includes…

Q: Do you believe credit is the life blood of the economy?

A: Credit is  the something in which a lender lends money, goods, or services to a borrower in exchange…

Q: The primary economic function of the "financial system" is to provide "financial intermediation,"…

A: Financial systems of a country refers to the collection of commercial banks, public banks and…

Q: If consumers demand more currency, which will increase?   a. Investment spending b. Real interest…

A: The money demand would be the demand for the cash holdings by the people. The demand of money would…

Q: 7. Saving to withdraw represents this function of money: A: commodity money B: medium of exchange C:…

A: Saving to withdraw represents which function of money Correct option (C) Store of Value: Because, A…

Q: Using the money market, which process best explains what happens to the interest rate when income…

A: Money market determines the equilibrium interest rate where quantity of real money balances equals…

Q: The concept of money as a “unit of account” involves the use of money to   a. speed transactions.…

A:

Q: Which of the following statements is false A. Money is not a comsumption or a capital good B. An…

A: Capital goods:The capital goods are those goods that are used in the production process and reported…

Q: Describe the paradox of savings. b. When do savings become a positive virtue and when does it…

A: The macroeconomic functions and activities include the major considerations and analysis through…

Q: When you pay $60 for the pizza you ordered for dinner, you are using money as a (an):      unit of…

A: Money refers to the medium of exchange and it allows people to get what they need to live.

Q: Money is a means of lowering the transaction costs of making exchanges. Do you agree or disagree?…

A: Money is used in many purposes. The following are the purposes of money: Medium of Exchange: Money…

Q: b. What are THREE positive impacts that borrowing to finance government spending could have on a…

A: Here we will talk about generally that how borrowing can positively impact a country. That would…

Q: 2. Why does $100 In the future not have the same value as $100 today?

A: Time Value of Money is defined as the concept of money which states that the amount of money that we…

Q: What is a monetary offset?

A: please find the answer below.

Q: How many regional Federal Reserve Bank presidents serve on the Federal Open Market Committee as…

A: “Since you have posted multiple questions, we will provide the solution only to the first question…

Q: If you have the currency note of Rs. 5 in your pocket which was used in the past. Can we say that…

A: The money is introduced for eliminating the shortcomings of the barter system. In the barter system,…

Q: 1. The three major actors in terms of economic activity are A. governments, businesses, and…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Money is          a.   The same as income       b.   All financial assets       c.   Any asset…

A: Money has reduced the importance of barter system.

Q: I want to know the background of cashless economy. Like how it is start and the influence in the…

A: Sometimes the cashless economy is misunderstood with an economy without cash. Cashless economy has…

Q: the economy is in recession and government increases money supply do you think it will affect…

A: If the economy is in recession, it means that there are shortage of funds in the market.

Q: What effect does inflation have on the purchasing power of money? A. It increases the purchasing…

A: The issue is to comprehend the impact of expansion on the buying influence of cash. Buying power…

Required Reserve and Excess Reserve Analysis

A required reserve is an amount of cash that banks must keep with themselves, which is certain percentage of the deposits made by their customers. Required reserve is a percentage of the bank's deposits that the respective bank must have on each overnight. The percentage rate is set and determined by the nation’s central bank. It is important to have such funds accumulated to meet its uncertain obligations, sudden liabilities and withdrawals. Required reserve is also known as reserve ratio. Reserve ratio is an important tool to control the money supply.