Question

It is necessary for a monetary unit to have an intrinsic value as a commodity to...

It is necessary for a monetary unit to have an intrinsic value as a commodity to be accepted as a medium of exchange. T/F

For households, savings are equal to personal income minus current consumption and minus taxes. T/F

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Answer #1

1. The given statement is true because monetary units should be having a unit of value because they are the measure of the value and one of the fundamental principle of measure of exchange is measure of the value.

Given statement is TRUE

2.given statement is FALSE because savings are not equal to personal income minus current consumption and taxes as it is just leading to discretionary income. These also relates to past deferred consumption and future consumption

The given statement is FALSE

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