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Multiple Choice Quiz
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1
As the inflation rate rises, money is more likely to be used as a store of value.
A)True
B)False
2
Commodity money is an item that has a value as money equal to its intrinsic value as a commodity.
A)True
B)False
3
Both debit cards and ACH transactions result in electronic fund transfers.
A)True
B)False
4
Since the 1980s, monetary economists have shifted their focus from M2 to M1 as the best predictor of inflation.
A)True
B)False
5
Beginning in the 1980s, M2 increased in size relative to M1 as a result of the availability of more liquid interest-bearing assets.
A)True
B)False





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