Money as a yardstick of standard measure

Money acts as a yardstick of standard measure of value to which all another things can be compared. Illustrate it.

Answer: Money serves as a measure of value in terms of unit of account. The measurement of value was the major complexity of the barter system. Introduction of money has eliminated this difficulty.

This acts as a yardstick of standard measure of value to which all another things can be compared. Money measures the value of whole thing or the prices of all services and goods and can be stated in terms of money. This function of money as well enables the trading firms to ascertain their costs, revenues, gains and losses.

View Complete Question

Related Questions in Microeconomics

Q : Derived Demand problem The change in

The change in price of a resource will cause a modification in the: (i) Demand for the resource. (ii) Supply of resource. (iii) Quantity demanded of resource. (iv) Demand for good in resource production. Find out the right answer f

Q : Incurs total costs by profit

This profit-maximizing brickyard as in illustrated figure incurs total costs of approximately: (i) $1200 daily. (ii) $1300 daily. (iii) $1400 daily. (iv) $1530 daily (v) $1600 daily.

Q : Determine price elasticity of demand

The price elasticity of demand for DVD games among prices of $10 and $20 is approximately: (w) 3/2. (x) 3/7. (y) 1. (z) 16.333.

Q : Exhibiting Predatory Behavior If a firm

If a firm attempts to drive rivals from its market and after that raises prices and adopts a strategy to deter entry, this is exhibiting: (w) grim strategy. (x) tit-for-tat strategy. (y) predatory behavior. (z) Nash equilibrium.

Q : Find price elasticity of demand for

Suppose yearly steel sales double to 80 million tons while the price falls $40 per ton, to $180 per ton. Therefore price elasticity of demand for steel is approximately: (w) 3.333. (x) 10.000. (y) 2.500. (z) 6.667.

Q : What will happen when a supply of curve

When a supply curve is positively sloped, a raise in demand will increase the equilibrium price as well as: (w) raise the quantity supplied. (x) raise supply. (y) decrease the quantity supplied. (z) decrease supply.

Q : Personal discrimination Personal

Personal discrimination: (1) may impede economic discrimination. (2) fosters wage, employment, occupational, and human capital discrimination. (3) causes housing prices to exceed levels affordable by the poor. (4) is the only cause of occupational dis

Q : Problem on Minimum Wage Sec. A :The

Sec. A:The Bureau of Labor Statistics of a small state has asked you to analyze a minimum wage policy to support unskilled workers in the State’s local economy, which is still suffering from the effects of the recession. Based on

Q : Changes in supply of loanable funds The

The supply of loanable funds changes positively along with the: (w) willingness of people to defer consumption in the future. (x) profitability and productivity of new capital investments. (y) price of the output about new capital will produce. (z) fu

Q : Types of Cost Types of Cost : A) Direct

Types of Cost: A) Direct costs: clearly chargeable to a work package: labour materials equipment other

Discover Q & A

Leading Solution Library

Avail More Than 1443424 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads

No hassle, Instant Access

Start Discovering

18,76,764

1936193
Asked

3,689

Active Tutors

1443424

Questions
Answered

Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!

Submit Assignment