Which of the Following Is a Difference Between Fiat Currencies

question 42

Multiple Choice

Which of the following is a difference between fiat currencies and cryptocurrencies?

• A) Unlike fiat currencies, cryptocurrencies have a physical form.
• B) Unlike fiat currencies, cryptocurrencies are not backed by any government.
• C) Unlike fiat currencies, cryptocurrencies are not backed by any physical commodity.
• D) Unlike fiat currencies, cryptocurrencies represent the value of a government's store of gold or silver.

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Definitions:

Marginal Utility

The additional satisfaction or utility gained from consuming one more unit of a good or service.

Apples

In economic terms, apples can be used as an example commodity to discuss principles like supply, demand, and market equilibrium.

Oranges

A citrus fruit known for its round shape and juicy, sweet interior, widely cultivated in warm climates.

Contract Curve

Represents the set of optimal allocations of resources between two agents in an economy, where no party can be made better off without making the other party worse off.