The determination of the value money, Managerial Economics

The Determination of the Value Money 

Since money is primarily a medium of exchange, the value of money means what money will buy.  If at one time a certain amount of money buys fewer things than at a previous time, it can be said that the value of money has fallen.  Since money itself is used as unit of account and a means of measuring the "value" of other things, its own value can be seen only through the prices of other things.  Changes in the value of money, therefore, are shown through changes in prices.

Posted Date: 11/28/2012 6:54:33 AM | Location : United States

Related Discussions:- The determination of the value money, Assignment Help, Ask Question on The determination of the value money, Get Answer, Expert's Help, The determination of the value money Discussions

Write discussion on The determination of the value money
Your posts are moderated
Related Questions
The Multiplier In his theory Keynes asserted that consumption is a function of income, and so it follows that a change in investment, which we may call ΔI, meaning an incremen

Suppose that the price elasticity of demand for cereal is -0.75 and the cross-price elasticity of demand between cereal and the price of milk is -0.9. If the price of milk rises by

1.  What is the difference between a static (master) budget and a flexible budget? Ans:  static budget is where a budget doesn't change a volume changes.  An example could be th

LONG RUN EQUILIBRIUM FOR THE FIRM Since there is freedom of entry into the industry the surplus profits will attract new firms into the industry.  As a result the supply of th

Consider the following hypothetical story: Last spring, there was an outbreak of a nasty disease known as cyclosporiasis, which was eventually traced to Guatemalan raspberries. Tog

Question: (a) Under what conditions would a central bank be considered independent. (b) Discuss the effects of delegating monetary policy making to an independent agent on

Utility Utility is the amount of satisfaction derived from the consumption of a commodity or service at a particular time.  Utility is not inherent but a psychological satisfa

INSTRUMENTS OF CREDIT CONTROL The central bank employs several instruments to control aggregate credit in the country. While some instruments like the open market operations mi

elasticity concepts occupies a central place in policy formulation explain in details

TYPES OF UNEMPLOYMENT   A  person  can  be  either  in the labour force  or  not  in  the  labour  force  of  an economy. The person not  included  in  the  labour force includ