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Econmoics Test 3
44 cards·by jttibbs1
Three Items that were money once
cows shells salt
something people accept as payment
money
answer
something that serves as payment
money
cows, shells, and salt once were used as
money
money always keeps its worth
store of value
you can determine somthing's value
unit of account
you can use money to trade
medium of exchange
problem of sotre of value
inflation
a sustained rise in the price level, fall in purchasing power
inflation
example of WWI inflation
germany
physical property of money-strength
durability
property that allows travel
portability
property- can be broken
divisble
property- universal appearnce
uniform
first economic property
limited supply
second economic property
acceptability
money that gets value from its material
commodity money
money backed by tangible item
representative money
money thats valuable by decree
fiat money
demand deposits
checking accounts
near money
savings accounts
paper money and coins
currency
formed to combat counterfitting in 1865
secret service
FDIC insures money up to
$250,000
Head of Federal Reserve
Janey Yellen
created FDIC
FDR
goal of a bank
make profit
what do banks store
money
holding only part of the money
fractional reserve banking
first secretary of the treasury
alexander hamilton
killed hamilton
aaron burr
original purpsoe was to take depsoits and give receipts
savings institution
little box in vault
safe deposit box
money for saving money
interest
adds on top of interest
compound interest
mortage is a loan for a
house
credits cards are issued by
banks
automated teller machine
ATM
Personal Identification Number
PIN
prepaid cards are an example of
stored value
how many regional banks
12
US's central banking system
Federal Reserve
when you stop paying
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