Exam 18: Understanding Money and Banking

An alternate bank that safeguards funds and estates in its care is called a(n)

Which of the following provides cooperative savings and lending services to its members?

The expression "$1000 worth of clothes" represents

A venture capital firm may do all but which of the following?

A chartered bank is a privately owned,profit-seeking business firm.

If the Bank of Canada wants to slow down business activity,it can raise the bank rate.This will make banks less willing to make loans to businesses.

The "law of one price" ensures that no country's currency is overvalued.

As early as ________ coins were being used,and paper money came into existence around ________.

Different parts of the salmon are worth different amounts,thus violating the money characteristic of being

What is a debit card?

________ are operated by investment companies that bring together pools of assets from many investors and purchase a collection of short-term,low-risk financial securities.

Which of the following will result in an decrease of the money supply?

The main function of financial institutions is to

Which of the following is correct with regard to Canadian banks?

________ is a revolutionary way of using electronic money over the internet.Traditional currency is used to buy electronic money that is then used to shop online.

When the Bank of Canada buys government securities,this reduces the money supply because the government has spent some of its money and therefore has less to spend.

Credit cards serve as a temporary medium of exchange but are not a store of value; therefore,they are do not qualify as a form of money.

Money functions as a medium of exchange,a unit of account,and a store of value.

When the Bank of Canada wants to decrease the money supply,it

In 2011,venture capital firms in Canada raised $_________.