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Economics 3.1 - Coggle Diagram
Economics 3.1
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Functions of moneyyy
medium of exchange
Widely recognized, does not require a double coincidence of wants for buyers and sellers
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measure of value
It helps aid between the buys and sellers to set different prices for different goods, based on the laws of supply and demand
If demand is low and supply is high, price is low; if demand is high and supply is low, price is high
store of value
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pop: Saving money in the bank (storing) will not lead to its value depreciating, either it remains the same or gets in interest in terms of value
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