What is the fundamental difference between commodity money and fiat currency?     commodity money has no intrinsic value, fiat is gold based     commodity and fiat money are synonymous terms so long as they consistute the medium of exchange     commodity money has intrinsic value, fiat does not     commodity money requires governance institutions, fiat does not

Survey of Economics (MindTap Course List)
9th Edition
ISBN:9781305260948
Author:Irvin B. Tucker
Publisher:Irvin B. Tucker
Chapter18: Money And The Federal Reserve System
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What is the fundamental difference between commodity money and fiat currency?

   

commodity money has no intrinsic value, fiat is gold based

   

commodity and fiat money are synonymous terms so long as they consistute the medium of exchange

   

commodity money has intrinsic value, fiat does not

   

commodity money requires governance institutions, fiat does not

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