One Problem with Fiat Money,as Compared to Commodity Money,is That

question 150

Multiple Choice

One problem with fiat money,as compared to commodity money,is that:

• A)more resources are used to create fiat money.
• B)there is frequently too little fiat money available.
• C)there is a greater potential for inflation with fiat money.
• D)fiat money must be turned in to the government to receive the commodity on which it is based.
• E)fiat money is less divisible than commodity money.