economics: section 9.1

money

anything that is generally accepted as a means of payment

1. exchange

2. measure

3. store 

fill in the blank

the functions of money: 

1. To be medium of _________

2. To provide a _______ of value 

3. To provide a _____ of value

medium

“means” or “agent”

barter

direct exchange of one good for another without a standard form of money passing from hand to hand

measure of value 

allows individuals to know the exact value of a good or a service

store of value

provides financial financial security for the future

1. portability

2. durability

3. homogeneity

4. divisibility

5. constancy

6. intrinsic valuableness

fill in the blank

qualities of money:

1. ________: easily carried about 

2. _________: slow to wear out 

3. ___________: standard, recognizable appearance 

4. _________: available for use in large and small units 

5. _________: stability in value 

6. _______ ___________: worth something in its own right

portability

easily carried about

durability

slow to wear out

homogeneity 

standard, recognizable appearance

divisibility

available for use in large and small units

constancy

stability in value

intrinsic valuableness 

worth something in its own right

pine tree shillings

currency of Massachusetts Bay Co.

john hull

fill in the blank

pine tree shillings were pioneered by captain ______ ______