Exam 3: What Is Money

If there are four goods in a barter economy, then one needs to know ________ prices in order to exchange one good for another.

________ is the narrowest monetary aggregate that the Bank of Canada reports.

To an economist, ________ is anything that is generally accepted in payment for goods and services or in the repayment of debt.

When money prices are used to facilitate comparisons of value, money is said to function as a ________.

Data show that an average Canadian and American citizens hold CA$1500 and US$2000 of their currency respectively. Since money is bulky, it can be stolen, pays no interest and in general we do not see our fellow Canadians holding $1500 in their pockets, where are these dollars and who is holding them?

The difference between money and income is that ________.

Patrick places his pocket change into his savings bank on his desk each evening. By his actions, Patrick indicates that he believes that money is a ________.

An individual's annual salary is her ________.

There is no single precise measure of money or the money supply for economists because ________.

Which of the following is a true statement?