The role and uses of money in the economy, and monetary theory Flashcards

puro what is money pati may onting tao

1
Q

is any item or commodity that is generally accepted as a means of payment for goods and services.

A

Money

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

is accepted as means of Repayment of debt.

A

Money

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

eliminates the problems that arises in Bartering.

A

Money

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

includes the funds stored as electronic entries in one’s checking account and savings account.

A

Money

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

is the oil that keeps the machinery of our world turning

A

Money

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

The ______was first observed around 10,000 – 3000 BCE

A

BARTER

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

It is the oldest form of payment to exchange of goods and services.

A

BARTER SYSTEM

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

Exchange of Goods and Services are executed based on perceived equal value

A

BARTER SYSTEM

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

The barter observes the______concept.

A

IOU

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

CHARACTERISTICS AND KEY FUNCTIONS OF MONEY

A

*Medium of exchange
*Store of value
*Unit of account
* Standard deferred payment

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

MONEY MUST NOT BE PERISHABLE

A

STORE OF VALUE

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

CONTAINS AN INTRINSIC VALUE, SUCH AS THAT OF A PRECIOUS METAL THAT WAS USED TO MAKE A COIN. HENCE, IT WILL ACT AS A GUARANTEE OF ACCEPTANCE TO PAY FOR TRANSACTIONS.

A

ITEM OF WORTH

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

MUST BE FREELY AND WIDELY USED FOR EXCHANGE OF GOODS AND SERVICES, AND THERE MUST BE STABILITY TO THE MONEY BEING USED.

A

MEANS OF EXCHANGE

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

SHOULD EASILY BE DIVISIBLE AND THERE ARE SUFFICIENT DENOMINATIONS.

A

MEANS OF EXCHANGE

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

MONEY MUST BE USED TO RECORD WEALTH POSSESSED, TRADE, OR SPENT PERSONALLY OR NATIONALLY.

A

UNIT OF ACCOUNT

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

Money must only be issued and recognized by one authorized government body, otherwise, trust in its value would disappear.

A

UNIT OF ACCOUNT

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

MONEY MUST BE WIDELY ACCEPTED TO VALUE A DEBT THEREBY ALLOWING GOOD AND SERVICES TO BE ACQUIRED NOW AND PAID FOR IN THE FUTURE.

A

STANDARD OF DEFERRED PAYMENT

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

AN IDEA WHICH STATED THAT A CHANGE IN MONEY SUPPLY IS A KEY DRIVER OF ECONOMIC ACTIVITY

A

MONETARY THEORY

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

Insufficient money circulating in the economy will slow it down

A

MONETARY THEORY

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

Surplus of money circulating in the economy can cause inflation due to higher price levels

A

MONETARY THEORY

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

MONETARY THEORY FORMULA

A

MV= PQ

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

what is the meaning of M in the monetary theory formula?

A

M = Money Supply

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

what is the meaning of V in the monetary theory formula?

A

V = Velocity (number of times currency is spent in a year)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

what is the meaning of P in the monetary theory formula?

A

P = Price of Goods and Services

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
25
Q

what is the meaning of Q in the monetary theory formula?

A

Q = Number of Good and Services

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
26
Q

PRICE LEVELS TENDS TO RISE MORE THAN THE PRODUCTION OF GOODS AND SERVICES WHEN THE ECONOMY IS CLOSE TO FULL EMPLOYMENT.

A

FULL EMPLOYMENT

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
27
Q

happens when all available labor resources are being used in the most efficient way possible.

A

FULL EMPLOYMENT

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
28
Q

IT DOES NOT MEAN ALL ARE EMPLOYED WITHIN THE ECONOMY

A

FULL EMPLOYMENT

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
29
Q

MANY MODERN ECONOMIST AGREE THAT SOME UNEMPLOYMENT IS NECESSARY TO AVOID INFLATION.

A

FULL EMPLOYMENT

30
Q

OF 5% OR LOWER IS CONSIDERED AS

A

FULL EMPLOYMENT

31
Q

GENERALLY, _% TO _% UNEMPLOYMENT RATE IS STILL AN ACCEPTABLE RATE TO MAINTAIN PRICES OF GOODS AND SERVICES AND AVOID INFLATION.

A

2%
7%

32
Q

THE CENTRAL BANK SETS MACROECONOMIC OBJECTIVES SUCH AS TO ENSURE PRICE STABILITY AND ECONOMIC GROWTH.

A

MONETARY POLICY

33
Q

HAVE TOOLS LIKE SETTING OFFICIAL INTEREST RATES

A

FINANCIAL AUTHORITIES

34
Q

WILL OPT TO EITHER INCREASE OFFICIAL INTEREST RATES (TO CONTROL INFLATION) OR DECREASE THEM (TO ENCOURAGE CONSUMPTION AND BOOST ECONOMIC GROWTH)

A

CENTRAL BANKS

35
Q

also responsible for carrying out operations to ensure that exchange rates remain stable.

A

Central Banks

36
Q

responsible for owning and controlling their official reserves.

A

Central Banks

37
Q

THEY PROVIDE LIQUIDITY TO COMMERCIAL BANK IN CASE OF SOLVENCY ISSUES.

A

THE BANK OF LAST RESORT

38
Q

Loans are provided to stimulate the commercial bank that is facing bankruptcy or financial issues.

A

THE BANK OF LAST RESORT

39
Q

Regulatory ambit and purview:
institutional design and arrangement

A

*Securities and exchange commission
*pdic
*komisyon ng seguro
*cooperative development authority

40
Q

shared responsibility with relevant stakeholders:
supervision and Regulation Collaborative Arrangements
Financial sector forum

A

*Securities and exchange commission
*pdic
*komisyon ng seguro
*cooperative development authority
Financial Stability Coordination Council

41
Q

Financial Stability Coordination Council

A

Department of Finance

42
Q

Key policy Priority and Reform Agenda

A

*institutional stability
*Sustainability
*Prudent innovation

43
Q

It is also a charitable foundations for the support of hospitals, convents, missions, and schools in which funds came from the profit

A

Obras Pias

44
Q

was the one who started the organization.

A

Father Juan Fernandez de Leon

45
Q

THE FIRST CREDIT INSTITUTIONS IN THE PHILIPPINES THAT WAS ESTABLISHED IN 1754 AND ENDED IN 1820

A

The ObrasPias

46
Q

THE FIRST PHILIPPINE BANK

A

El Banco Español Filipino de Isabel II

47
Q

El Banco Español Filipino de Isabel II

A

now called as Bank of the Philippine Islands (BPI)

48
Q

El Banco Español Filipino de Isabel II founder

A

Juan Antonio de Urbiztondo, Marquis of La Solana

49
Q

The bank’s name was from the mother of the late King

A

Alfonso XIII of SpaiN

50
Q

is the first paper currency of the country during the late Spanish occupation.

A

Pesos Fuertes

51
Q

has the greatest number of shares since 1969 making it as their parent company.

A

Ayala Corporation

52
Q

IRG meaning

A

INVESTOR RELATIONS GROUP (IRG)

53
Q

BSP

A

BANGKO SENTRAL NG PILIPINAS

54
Q

WAS CREATED IN JULY 2001 TO RAISE THE PHILIPPINE GOVERNMENT’S CREDIT PROFILE A​ND PROMOTE THE COUNTRY AS A VIABLE INVESTMENT DESTINATION.

A

BANGKO SENTRAL NG PILIPINAS

55
Q

NOW UNDER _____ STRATEGIC COMMUNICATION SUB-SECTOR, THE CORE OF IRG’S MANDATE IS TO COMMUNICATE BEFORE AN INTERNATIONAL AUDIENCE KEY MES​SAGES ON THE STRENGTHS OF THE PHILIPPINE ECONOMY, INCLUDING SOUND MACROECONOMIC FUNDAMENTALS, IMPROVED INVESTMENT CLIMATE, GAME-CHANGING PO​​LICY REFORMS, AND LONG-TERM ECONOMIC GROWTH POTENTIAL.

A

BSP

56
Q

The BSP aims to be recognized globally as the monetary authority and primary financial system supervisor that supports a strong economy and promotes a high quality of life for all Filipinos.

A

BSP VISION

57
Q

To promote and maintain price stability, a strong financial system, and a safe and efficient payments and settlements system conducive to the sustainable and inclusive growth of the economy.

A

BSP MISSION

58
Q

introduced a new logo in keeping with the changing times. In contrast to the stylized eagle profile design of the current logo, the new one features a full-bodied Philippine eagle rendered in gold, taking inspiration from various wildlife photographs of actual Philippine eagles. The use of the Philippine eagle in the new logo is intended to represent the BSP as well as the Filipino people which it serves.

A

THE BSP SEAL​

59
Q

THE LOGO EMPLOYS A PHOTOREALISTIC RENDERING OF A PHILIPPINE EAGLE IN FLIGHT, SIGNIFYING THE STRENGTH OF LEADERSHIP AND FORESIGHT THAT THE BSP PROVIDES IN THE FINANCIAL SECTOR AND THE ECONOMY.

A

GOLDEN PHILIPPINE EAGLE

60
Q

THE EAGLE’S OUTSTRETCHED WINGS AND TAIL FEATHERS SYMBOLIZE THE BSP’S __________, INCLUSIVE APPROACH TO GROWTH AND DEVELOPMENT, WHILE ALSO CONVEYING THE CENTRAL MONETARY AUTHORITY’S MASTERY OVER ITS FIELD.

A

BALANCED,

61
Q

THE EAGLE’S HEAD AND EYES _______, EXPRESSING THE BSP’S VIGILANCE AND READINESS TO SEIZE CHALLENGES AND OPPORTUNITIES THAT RISE OVER THE HORIZON.

A

FACE EAST

62
Q

THE TALONS REPRESENT

A

STRONG WILL, RESOLVE, AND THE MONETARY

63
Q

THE LOGO IS CONTAINED WITHIN ________

A

PERFECT CIRCLE

64
Q

REPRESENT THE THREE PILLARS OF CENTRAL BANKING (PRICE STABILITY, STABLE BANKING SYSTEM, AND A SAFE AND EFFICIENT PAYMENTS AND SETTLEMENTS SYSTEM), AS WELL AS THE BSP’S COMMITMENT TO PROMOTE AND SUSTAIN A HIGH QUALITY OF LIFE FOR ALL FILIPINOS, ACROSS LUZON, VISAYAS, AND MINDANAO.

A

GOLDEN STARS

65
Q

THE NAME OF THE BANGKO SENTRAL NG PILIPINAS IS RENDERED IN GOLD, USING A CLEAN SANS-SERIF FONT, TO SIGNIFY THE BANK’S OPERATIONAL EFFICIENCY, CLARITY OF VISION, AND SINGLE-MINDEDNESS OF PURPOSE

A

CORPORATE TEXT

66
Q

DOMINATE THE NEW LOGO’S COLOR SCHEME TO EVOKE THE BSP’S STATURE AS A PREMIER GOVERNMENT AGENCY.

A

YELLOW GOLD AND MIDNIGHT BLUE

67
Q

FOREGROUND ELEMENTS REPRESENT THE BSP’S AIM TO PROMOTE ECONOMIC GROWTH AND PROSPERITY, AND THE HIGH STANDARDS OF ETHICS AND PERFORMANCE IT HOLDS.

A

YELLOW GOLD

68
Q

BACKGROUND IS EVOCATIVE OF THE HONOR, DIGNITY, AND NOBLE CHARACTER OF THE FILIPINO PEOPLE, AND THE BSP’S UNWAVERING COMMITMENT TO SERVE THE NATION.

A

TWO-TONE MIDNIGHT BLUE

69
Q

governor and chairman

A

Eli M. Remolona, JR.

70
Q

Deputy Governor Financial Supervision Sector

A

Chuchi G. Fonachier