Rising prices erode the value of money as a ________ and as a ________.
A)unit of barter; unit of account
B)store of value; unit of liquidity
C)medium of exchange; store of value
D)store of value; unit of barter

Question

Quizplus · Accepted Answer

Rising prices, or inflation, reduce the purchasing power of money, affecting its role as a medium of exchange (since more money is needed to buy the same goods) and as a store of value (since money saved buys less in the future).

Rising Prices Erode the Value of Money as a ________