ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Money is any object that is generally accepted as payment for goods and services and repayment of debts in a given country or socio-economic context. The main functions of money are distinguished as: a medium of exchange; a unit of account; a store of value; and, occasionally, a standard of deferred payment.

Detailed explanation-2: -Money, as a means of payment, can be replaced only by promises to pay, and these have to be redeemed to the extent that they do not balance out. This accounts for the difference between the circulation of promissory notes and that of legal tender paper money.

Detailed explanation-3: -The correct option is (C) money. To an economist, money is anything that is generally accepted in payment for goods and services or the repayment of debt. Money is something that the parties of the transaction agree to have value.

Detailed explanation-4: -Money is any item or medium of exchange that is accepted by people for the payment of goods and services, as well as the repayment of loans. Money makes the world go ‘round. Economies rely on money to facilitate transactions and to power financial growth.

Detailed explanation-5: -Third: Money is a medium of exchange. This means that money is widely accepted as a method of payment. When I go to the grocery store, I am confident that the cashier will accept my payment of money.