Money: an asset regularly used to buy goods and services
Money has 3 functions:
1. Medium of exchange: Money's most important function is as a medium of exchange to
2. Unit of account: Money also functions as a unit of account, providing a common
measure of the value of goods and services being exchanged.
3. Store of value: In order to be a medium of exchange, money must hold its value over
time; that is, it must be a store of value