EPF6 demonstrate knowledge of   the nation’s financial system
 Money  makes it easier to trade, borrow, save, invest, and compare the value of goods and services.
 Money  is anything widely accepted as final payment for goods and services.
Money has six characteristics: durability portability divisibility uniformity limited supply acceptability
 Money   acts as a medium of exchange,  making trade easier. Money encourages specialization by  decreasing the costs fo...
Commodity money (e.g., gold coin) has value in itself,while fiat money (e.g., U.S. dollar) has value because the governmen...
 Thebasic money supply in the United States is made up of:  • currency  • coins  • checking account deposits
6a role of money
6a role of money
6a role of money
6a role of money
6a role of money
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6a role of money

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6a role of money

  1. 1. EPF6 demonstrate knowledge of the nation’s financial system
  2. 2.  Money makes it easier to trade, borrow, save, invest, and compare the value of goods and services.
  3. 3.  Money is anything widely accepted as final payment for goods and services.
  4. 4. Money has six characteristics: durability portability divisibility uniformity limited supply acceptability
  5. 5.  Money acts as a medium of exchange, making trade easier. Money encourages specialization by decreasing the costs for exchange. Money acts as a store of value, making it easier to save and invest. Money acts as a measure of value, making it easier to compare the value of goods and services.
  6. 6. Commodity money (e.g., gold coin) has value in itself,while fiat money (e.g., U.S. dollar) has value because the government has declared that it is acceptable for paying debts.
  7. 7.  Thebasic money supply in the United States is made up of: • currency • coins • checking account deposits

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