At One Time, the American Paper Dollar Could Be Exchanged

question 62

Multiple Choice

At one time, the American paper dollar could be exchanged for gold held at Fort Knox. When this was permitted, what quality did paper money possess?

• A) The currency was considered fiat money.
• B) The currency was backed by land.
• C) The currency was subject to severe inflation.
• D) The currency had stored value.

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Definitions:

Cognitive Dissonance

The discomfort in one's mind caused by holding multiple opposing beliefs, ideas, or values concurrently.

Social Psychological Theory

A branch of psychological theory that explores how individual behavior is influenced by the social environment and interactions.

Perceived Behavioral Control

An individual's belief in their capacity to execute behaviors necessary to produce specific performance attainments.

Theory of Planned Behavior

A psychological theory that links beliefs and behavior, suggesting that an individual's intention to engage in a behavior is the principal determinant of whether they will do so, influenced by attitudes, subjective norms, and perceived behavioral control.