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Which of the following is not a function of money?
Medium of exchange
Price stability
Store of value
Unit of account
- Medium of exchange: Money facilitates transactions by eliminating the need for a barter system. It acts as an intermediary that is accepted by all parties in trade.
- Price stability: Money itself does not ensure stable prices. Price stability is influenced by economic policy and market conditions, not the money's function.
- Store of value: Money can be saved and retrieved in the future, retaining its value over time if inflation is controlled.
- Unit of account: Money provides a consistent measure for pricing goods and services, which helps in comparing value.
Option 2, Price stability, is not a function of money.
By: santosh ProfileResourcesReport error
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