Could the dollar still function as the unit of account in a totally cashless society?
Answer to relevant QuestionsWhy might each of the following commodities not serve well as money?a. Tomatoesb. Bricksc. CattleFind the most recent level of M2 (FRED code: M2SL) and of the U.S. population (FRED code: POP). Compute the quantity of money divided by the population. Do you think your answer is large? Why? The Wall Street Journal has a daily listing of what are called "Money Rates” or interest rates on short-term securities. Locate it either in a recent issue of the newspaper by looking at the index on page 1 of the Money ...If higher leverage is associated with greater risk, explain why the process of deleveraging (reducing leverage) can be destabilizing.As the manager of a financial institution, what steps could you take to reduce the risks referred to in Problem 21?
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