Please enable JavaScript.
Coggle requires JavaScript to display documents.
Functions of money (Store of value (Attributes allowing this…
Functions of money
Store of value
You can save money because it maintains its value
It can be used in the future
Allows you to store money in a bank
Allows you to borrow money for a long period of time
#
Attributes allowing this
Acceptability
Durability
Difficult to counterfeit
Limited in supply
Unit of account
The price of an item can be measured in terms of how many units of currency it is worth
Attributes allowing this
Divisibility
Uniformity
Limited in supply
You can give an item a value
You can compare two similar items for their quality
Medium of exchange
Money is generally accepted as a means of payment for most goods and services
You are able to go anywhere and the currency is accepted
Attributes allowing this
Acceptability
Difficult to counterfeit
Uniformity
Limited in supply
Deferred payments
Borrowers are able to borrow money and pay it back at a future date
Attributes allowing this
Acceptability
Divisibility
Portability
Durability