ECONOMICS
MONETARY POLICY
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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allows people to preserve value of money for future use
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paper currency that was printed with green ink on both sides
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anything that serves as a medium of exchange and a store of value
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any substance that serves as a medium of exchange, a measure of value, and a store of value
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Detailed explanation-1: -A store of value is an asset, currency, or a commodity that can be stored and retrieved at a later date without losing its value. An investment with a good store of value comes with a perpetual lifespan and infinite demand, making them low risk.
Detailed explanation-2: -A store of value is essentially an asset, commodity, or currency that can be saved, retrieved, and exchanged in the future without deteriorating in value.
Detailed explanation-3: -With the help of money, people can store surplus purchasing power and use it whenever they wish to. Money serves as a store of value for goods in liquid form. Savings in the form of money are not only secure but the possibility of it being disrupted is very low. Besides, money can be carried around and is portable.
Detailed explanation-4: -Money as a Store of Value So, when people exchange items for money, that money retains a particular value that can be used in other transactions. This ability to function as a store of value facilitates saving for the future and engaging in transactions over long distances.
Detailed explanation-5: -Money as a store of value Money is well-suited to storing value because of its purchasing power. It is also useful because of its durability. Because of its function as a store of value, large quantities of money are hoarded.