Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: Money and Banking

Question:

Which of the following is a "Secondary function" of money?

Options:

Store of value

Medium of exchange

Unit of value

Both 2 and 3

Correct Answer:

Store of value

Explanation:

Functions of money:

  • Primary functions: Unit of value, Medium of exchange
  • Secondary functions: Standard of deferred payments, Store of value