ECONOMICS
CREDIT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Medium of transaction
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Medium of exchange
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Deposit in Banks
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Payment through cheque
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Detailed explanation-1: -Money is a medium of exchange; it allows people and businesses to obtain what they need to live and thrive. Bartering was one way that people exchanged goods for other goods before money was created. Like gold and other precious metals, money has worth because for most people it represents something valuable.
Detailed explanation-2: -In modern economies, the medium of exchange is currency. A currency must remain reasonably stable in value in order for it to work as an intermediary. If its value becomes unstable, it is no longer viable as a means of exchange.
Detailed explanation-3: -Bobby Seale Quotes Money is the medium of exchange, and it’s how you make things happen.
Detailed explanation-4: -1. It is accepted as a medium of exchange because the currency is authorized by the Government of India. 2. In India, the Reserve bank of India issues currency notes on behalf of the Central Government of India.