Which of the following statements about the basic functions of money is TRUE()
A. When money is defined as a medium of exchange, it means that money enables value to be stored and transported.
B. Money’s value is directly related to the level of prices.
C. Money’s function as a unit of account allows individuals to account for debts.
参考答案:C
解析:
As a unit of account, money acts as a common basis for financial transactions and accounting. Imagine the difficulty in trying to use oats to pay back a loan you received in bananas. Money’s function as a store of value means that money enables value to be stored and transported. When money is defined as a medium of exchange, it means that money simplifies transaction costs. Money must be commonly recognized and universally accepted for it to serve as a good medium of exchange. Another basic function of money, which of unit of account, means that money allows consumers to compare the value of goods. The liquid asset function of money means that money converts easily into other goods. The statement that begins, "Money’s value is. " should continue, ".. inversely related to the level of prices. " The value of a unit of money is measured in terms of what can be purchased with the unit. An increase in the level of prices and a decline in the purchasing power of a unit of money are the same thing. The statement about paper money is partially true, it allows consumers to defer consumption and encourages division of labor. It is not necessarily the best store of value. Other assets may provide a better hedge against inflation or greater price appreciation (real estate, for example).