Question: Explain and evaluate the following statements: a. The invention of money is one of the great achievements of humankind, for without it the enrichment that

Explain and evaluate the following statements:
a. The invention of money is one of the great achievements of humankind, for without it the enrichment that comes from broadening trade would have been impossible.
b. Money is whatever society says it is.
c. In most economies of the world, the debts of government and commercial banks are used as money.
d. People often say they would like to have more money, but what they usually mean is that they would like to have more goods and services.
e. When the price of everything goes up, it is not because everything is worth more but because the currency is worth less.
f. Any central bank can create money; the trick is to create enough, but not too much, of it.

Step by Step Solution

3.28 Rating (160 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

a Without money trade must occur through barter Barter requires the double coincidence of wants the requirement that a seller find a buyer who not only desires what the seller has to offer but also ha... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Document Format (1 attachment)

Word file Icon

252-B-E-M-E (2131).docx

120 KBs Word File

Students Have Also Explored These Related Economics Questions!