Working Students

In: Business and Management

Submitted By z0zi94
Words 3739
Pages 15
3.1 Meaning of Money
1)
Economists find no completely satisfactory way to measure money because
A)
money supply statistics are a state secret.
B)
the Federal Reserve does not employ or report different measures of the money supply.
C)
the "moneyness" or liquidity of an asset is a matter of degree.
D)
economists find disagreement interesting and refuse to agree for ideological reasons.
Answer:
C
2)
To an economist, ________ is anything that is generally accepted in payment for goods and services or in the repayment of debt.
A)
wealth
B)
income
C)
money
D)
credit
Answer:
C
3)
Currency includes
A)
paper money and coins.
B)
paper money, coins, and checks.
C)
paper money and checks.
D)
paper money, coins, checks, and savings deposits.
Answer:
A
4)
The difference between money and income is that
A)
money is a flow and income is a stock.
B)
money is a stock and income is a flow.
C)
there is no differencemoney and income are both stocks.
D)
there is no differencemoney and income are both flows.
Answer:
B
5)
It is true that
A)
income and wealth are both stocks.
B)
money and income are both stocks.
C)
income is a flow and wealth is a stock.
D)
money and wealth are both flows.
Answer:
C
6)
An individual's annual salary is her
A)
money.
B)
income.
C)
wealth.
D)
liabilities.
Answer:
B 7)
A person's house is part of her
A)
money.
B)
income.
C)
liabilities.
D)
wealth.
Answer:
D
8)
Money is
A)
anything that is generally accepted in payment for goods and services or in the repayment of debt.
B)
a flow of earnings per unit of time.
C)
the total collection of pieces of property that are a store of value.
D)
always based on a precious metal like gold or silver.
Answer:
A
9)
Which of the following are true statements?
A)
Wealth is a stock variable.
B)
Money is a flow variable.
C)
Income is a stock variable.
D)
Wealth is a flow variable.
Answer:
A
10)
________ is used to…...

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