MArch17 - Chapter 10 Economics Key terms and Main Ideas...

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Chapter 10 Economics Key terms and Main Ideas Jason Tang per 1 Section 1 1. Money serves as a store of value. This means that money keeps its value if you decide to hold on to or store it instead of spending it. Money will still be the same value in weeks or months from now to go and buy a product. 2. Commodity money is objects that have value in themselves and that are also used as money. An example is salt, cattle, and precious stones. Representative money is objects that have value because the holder can exchange them for something else of value. For example, if your brother gives you an IOU, the piece of paper itself is worth nothing. The promise that he will do all of your chores for a month may be worth quite a lot, however. The piece of paper simply represents his promise to you. Fiat money is money that has value because the government has ordered that it is an acceptable means to pay debts. 3.
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This note was uploaded on 01/27/2010 for the course ANTHR 1 taught by Professor Chatterjee during the Spring '10 term at Accreditation Commission for Acupuncture and Oriental Medicine.

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MArch17 - Chapter 10 Economics Key terms and Main Ideas...

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