Ch 1

1. Which ancient society used gold not primarily as a medium of exchange but as an object for
human burial?

Egypt

2. Which of the following is not one of the three main functional roles of money?

A measure of inflation

3. All of the following items have once been used as money. Which one would tend to act as the
best store of value?

A gram of gold

4. In a supply and demand chart which variable is directly represented by money?

Price

5. Supply and demand for money affects which of the following factors?

All of the above

6. How does money support global trade?

Helps establish value between different items

7. Which of the following would not be considered a major reason for the increased focus of
money in our global society?

The desire for more kinship based societies

8. What factors have led to the decline of non-money oriented cultures?

All of the above