Saturday, April 2, 2016

What are the three functions of money?


What are the three functions of money? 



#Parkin #11edition #Money #PriceLevel #Inflation #Chapter25

2 comments:

  1. Answer:
    Money serves as a medium of exchange (so that money is accepted in exchange for goods and services), as a unit of account (so that prices are measured in units of money), and as a store of value (so that money is exchangeable at a later date).

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  2. - Medium of exchange: Any object that is generally accepted in exchange for goods and services.
    - Unit of account: An agreed measure for setting the prices of goods and services.
    - Store of value: Money can be kept and exchanged later for goods and services.

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