Chapter 10 Flashcards Preview

ECONOMICS Mid-Term '15 > Chapter 10 > Flashcards

Flashcards in Chapter 10 Deck (16):
0

Anything that serves as a medium of exchange, a unit of account, and a store of value

Money

1

The direct exchange of one set of goods or services for another

Barter

2

Something that keeps its value if it is stored rather than used

Store of Value

3

Coins and paper bills used as money

Currency

4

Objects that have value because the holder can exchange them for something else of value

Representative Money

5

Money that has value because the government has ordered that it is an acceptable means to pay debts

Fiat Money

6

An institution for receiving, keeping, and lending money

Bank

7

The nation's central banking

Federal Reserve System

8

The government agency that insures customer deposits if a bank fails

Fed Deposit Insurance Corp

9

The ability to be used as, or directly converted to, cash

Liquidity

10

Market in which money is lent for periods less than a year

Money Market

11

A specific type of loan that is used to buy real estate

Mortgage

12

A card entitling its holder to buy goods and services based on the holder's promise to pay for these goods and services

Credit Card

13

The price paid for the use of borrowed money, or money earned by deposited funds

Interest

14

The amount of money borrowed

Principal

15

Person or institution to whom money is owed

Creditor