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When economists say that money is a store of value does it mean that money can be used to measure the value of other commodities?
Wiki User
∙ 12y ago
Money has three functions, being a: 1) store of value; 2) unit of account; 3) medium of exchange. The first, a store of value, implies that money maintains and stores its value over time - unlike many other mediums of exchange, which can depreciate. Money is intended to be storeable, retrievable, and reuseable as a medium of exchange itself. Therefore, being a store of value does not mean that money can be used to measure the value of other commodities - that is its third function, medium of exchange.
Wiki User
∙ 12y ago
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What is the difference between money and and Commodity?
Money is what people use as the predominant item in exchange for everything else in the market. Commodities on the other hand can be useful by themselves and therefore usually do not qualify as a good type of money with the notable exception being gold and perhaps silver.
What is barter system?
In a barter system commodities are exchanged with commodities without the use of money. But in such a system two parties are required who are ready to buy and sell each other’s commodities. It is a primitive system.
Which of these agencies regulates commodity exchanges and trading in agricultural metal and other commodities?
commodities futures trading commission
What does GDP tell economists about business cycles?
economists follow the country's GDP and other key statistics to predict business cycles.
3 What does GDP tell economists about business cycles?
Economists follow the country's GDP and other key statistics to predict business cycles
What is an Exchange of commodities for money or other commodities?
just that; an exchange. Maybe a sale? its called a trade
Who said A standard of value is any commodity by means of which people measure and express the value of other commodities?
This is from the book "Money And Banking" by William A. Scott
What is the difference between money and and Commodity?
Money is what people use as the predominant item in exchange for everything else in the market. Commodities on the other hand can be useful by themselves and therefore usually do not qualify as a good type of money with the notable exception being gold and perhaps silver.
What is barter system?
In a barter system commodities are exchanged with commodities without the use of money. But in such a system two parties are required who are ready to buy and sell each other’s commodities. It is a primitive system.
How did Karl Marx define commodities?
In Marx's time, he saw the wealth of the bourgeois society as having an over abundance of commodities. He explained, however, that every commodity has two forms. One is "use value" and the other is "exchange value". He then travels to how English economists defined commodities, which at the time were simply "any thing necessary, useful or pleasant in life".He follows this up with how his two definitions of a commodity are the basis of bourgeois wealth (unearned wealth).
Why did some ancient Greek settlements trade?
To exchange their surplus commodities for other commodities they needed. To make a financial profit from trading commodities and services.
Which of these agencies regulates commodity exchanges and trading in agricultural metal and other commodities?
commodities futures trading commission
What is the Commodity Credit Corporation authorized to do?
to support prices of agricultural commodities through loans, purchases, payments, and other operations; support production and marketing of agricultural commodities; procure agricultural commodities for sale to other government agencies
Why did some Greek settlements trade?
To exchange their surplus commodities for other commodities they needed. To make a financial profit from trading commodities and services.
What does GDP tell economists about business cycles?
economists follow the country's GDP and other key statistics to predict business cycles.
3 What does GDP tell economists about business cycles?
Economists follow the country's GDP and other key statistics to predict business cycles
Why do economists do assumptions?
To mimic the methods employed by other scientests.
