Match each form of money listed in Column A with its corresponding defining feature in Column B.
- Token MoneyMoney whose face value is substantially higher than the intrinsic value of the physical material used to create it
- Fiat MoneyCurrency established and backed by government order rather than by a physical commodity reserve
- Quasi-MoneyHighly liquid assets such as time deposits that serve as a store of value but are not direct legal tender
- Bank MoneyCommercial bank deposit balances that can be transferred from one account to another using cheques
Answer
Token Money matches with money whose face value exceeds its intrinsic material value; Fiat Money matches with currency established by government order without physical commodity backing; Quasi-Money matches with highly liquid assets serving as near-money; Bank Money matches with commercial bank deposit balances transferable via cheques.
Token Money is characterized by face value exceeding intrinsic value; Fiat Money is defined by government decree without physical commodity backing; Quasi-Money includes near-money liquid assets not functioning directly as legal tender; Bank Money comprises commercial bank deposit balances transferable by cheque.
Step-by-Step Solution
Key Concept
Distinguishing features and classifications of modern forms and types of money.