Money Is an Imperfect Store of Value When

question 185

Multiple Choice

Money is an imperfect store of value when

• A)the rate of inflation is high.
• B)the unemployment rate is high.
• C)gold prices are falling.
• D)businesses are failing due to bankruptcy.

---

Definitions:

Large-Scale Unemployment

A situation where a significant portion of the workforce is without jobs, often due to economic downturns or structural economic changes.

Deep Recession

A particularly severe and prolonged period of economic decline, characterized by significant falls in income and employment.

Aggregate Demand

Aggregate demand represents the total demand for goods and services within an economy at a given overall price level and in a given time period.

Aggregate Demand Curve

A curve that shows the relationship between the overall price level in the economy and the total demand for goods and services.