ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Uniformity. Every bill and coin of the same value needs to look the same. Money must be uniform in that one $20.00 bill and another $20.00 bill must be able to buy the same thing.

Detailed explanation-2: -The characteristics of money are durability, portability, divisibility, uniformity, limited supply, and acceptability.

Detailed explanation-3: -Uniformity of money Uniformity means that all versions of the same denomination of currency must have the same purchasing power. For example, an old $2 bill will still buy $2 worth of goods or services nowadays.

Detailed explanation-4: -in fact, a variety of items have been used as money over the centuries. The items that worked the best tended to have four basic characteristics: portability, divisibility, durability, and acceptability.

Detailed explanation-5: -Money is often defined in terms of the three functions or services that it provides. Money serves as a medium of exchange, as a store of value, and as a unit of account. Medium of exchange. Money’s most important function is as a medium of exchange to facilitate transactions.