Money functions as a medium of exchange in permitting the ready comparison of the relative worth of heterogeneous products.

Question

Quizplus · Accepted Answer

Money is a medium of exchange that facilitates the comparison of the relative prices of different goods and services. It allows people to exchange goods and services without having to barter or exchange like-for-like items. This function of money makes markets more efficient and facilitates economic transactions.

Money Functions as a Medium of Exchange in Permitting the Ready