The reason we are willing to accept money with no intrinsic value is that
A) the money supply is backed by an equal amount of gold and silver.
B) we have a fiduciary monetary system in which currency has both acceptability and predictability of value.
C) the value of the money varies directly with changes in the price level.
D) paper currency may be exchanged for full-bodied money.
B
Economics
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Money that has no intrinsic value and is created by a government decree is called
A) barter money. B) fiat money. C) commodity money. D) asset money.
Economics
The Tragedy of the Commons for sheep grazing on common land can be eliminated by the government doing each of the following except
a. assigning land property rights. b. auctioning off sheep-grazing permits. c. taxing sheep flocks. d. subsidizing sheep flocks.
Economics