Define Credit Instruments & different kinds of Credit Instruments CREDIT INSTRUMENTS: Credit Instruments are the documents describing details of credit and debit. Credit Instruments provide a written means from future reference describing terms and conditions of any debt and loan. Credit Instruments may be an order for payment of money to a specified person […]
What are the Main Functions of Money ?
Functions of money is in simple word “money is what money does” Definition of Money: According to an earlier German economist (knap) “anything which is declared by the state as money is money”. According to (roger miller) “Anything which is generally accepted in payment for the goods and services or the repayment of debts […]
What is a Prepaid Card and how does it work
What is a Prepaid Card and How does it work Keeping a credit card is almost compulsory nowadays, as there are specific things that can be bought only by using them. Booking air tickets, reserving a room in hotel and renting a car all these things are done using credit card. If you lack […]
What are the Qualities of Good Money
Qualities of Good Money: Qualities of good Moneyis material should be economical. The cost of printing currency notes a minting of coins must be low. The material of money must be easily available at reasonable prices. Qualities of good Money are determined by the following points: General acceptance Portable Durable: Divisibility: Store-ability Durability Recognizable Economically Conclusion these […]
What is Deflation and its Causes
Deflation is when the overall price level decreases so that inflation rate becomes negative, it is called deflation. It is the opposite of the often-encountered inflation. What is Deflation A decline in general price levels, often caused by a reduction in the supply of money or credit. Deflation can also be brought about by direct contractions in spending, either in the form of a reduction in government spending, personal […]