The ease with which an asset can be converted into a medium of exchange is

The ease with which an asset can be converted into a

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41.The ease with which an asset can be converted into a medium of exchange is known as:a.volatility.b.liquidity.c.currency.d.Gresham's Law.e.speculative exchange.ANS: BPTS:1DIF:MTOP:LiquidityTYP:RE42.Which one of the following items would be the mostliquid?43.The ease with which an asset can be converted into a medium of exchange is:44.What establishes the value of fiat money?45.The characteristics that money should have include:a.portability, durability, and flexibility.b.durability, flexibility and stability.
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c.durability, portability, and non-homogeneity.d.scarcity, portability, and divisibility.e.portability, homogeneity, and flexibility.ANS:DPTS:1DIF:MTOP:Properties of moneyTYP:RE46.Gold is a perfect medium of exchange and measure of value because of its:47.The currency of the United States is:48.Which of the following is a desirable property of money?49.Which of the following statements is false?a.Round stones with holes in the center can serve as money.b.Money eases the process of exchanging goods and services in a modern economy.c.Money serves as a measure of value only when it is backed by gold or silver.d.Money is used as a measure of the relative value of goods and services in an economy.ANS:CPTS:1DIF:ETOP:Properties of moneyTYP:RE
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