Question

1. Bills and coins make up about __________.

a) 50–60% of the total money supply

b) 5–10% of the total money supply

c) 100% of the money supply

d) 15–20% of the money supply

2.

Many theories of the reasons for the development of states suggest that __________.

a. they are based on kinship or tribal groups and are an attempt to maintain the autonomy of such groups within specified boundaries

b. they were formed to combine smaller states with similar cultures into larger groups to afford them more power

c. they were formed to maintain social order and allow social growth and development

d. they were formed to restrict killing, both inside and outside of the state, as the prerogative of the state

3.

For the market to operate as Adam Smith proposed, the following conditions must exist: __________.

a) the ability of people to exert demand, competition between those supplying goods and services, and access to information regarding goods and services

b) remarkable sales skills by a superior sales staff

c) creative marketing, packaging, and the ability to project need

d) forceful marketing, along with creative sales ability

Answer 1

1. Bills and coins make up about 5%-10% of the total money supply.

Among whole the money,8% is printed and minted, the remaining 92% is digital.The bills and coins are in form of Dollars, Pounds, Euros, Pesos, Rupees, Krones, Naira etc.,There are totally 180 different types of currencies in the world today and among them only 8% of it is actual, physical, hold-it-in-your-hand cash.

2.Many theories of the reasons for the development of states suggest that:

they were formed to maintain social order and allow social growth and development.

3.For the market to operate as Adam Smith proposed, the following conditions must exist: creative marketing, packaging, and the ability to project need.

Adam Smith explained that an economy will work and function more if the government will leave the people alone to buy and sell freely.