Question

section 4: money management
lesson 1: money
practice
which three things does money help people do in an
economy? (select three answers.)

• exchange commodities
• measure the value of commodities
• avoid inflation
• store value
• hide the price of a commodity
• increase inflation
• remove value

Explanation:

To solve this, we recall the functions of money: medium of exchange (to exchange commodities), unit of account (to measure the value of commodities), and store of value (to store value). The other options (avoid inflation, hide price, increase inflation, remove value) are not functions of money.

Answer:

• Exchange commodities
• Measure the value of commodities
• Store value