What are the three (3) functions of money?
Group of answer choices

Store of Portability, Unit of Stability, Medium of Scarcity

Medium of Exchange, Store of Value, Unit of Account

Medium of Exchange, Durability of Value, Stability of Account

Respuesta :

C) Medium of Exchange, Store of Value, Unit of Account

  • Medium of Exchange means that the type of currency is widely accepted. If you take, for example, the U.S dollar to any store in the United States, they will accept it as a form of currency.
  • Store of Value is the ability to hold the money for an unspecified amount of time, without the value changing significantly. However we know that because of inflation, keeping money stored for an extreamly long time is not as effective.
  • Unit of Account basically identifies the fact that paying in money is easier then playing with other items. For example, getting a shirt may cost 50 or 70 bushles of corn, 5 or 3 packs of meat, or if you are paying with money, it will be 25 dollars no matter which shop you go to.

I hope this helps! :)

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