Which of the Following Statements Is True

question 41

Multiple Choice

Which of the following statements is true?

• A) In Romania under Communist Party rule in the 1980s, Kent cigarettes served as a medium of exchange. This illustrates the use of Kent cigarettes as fiat money.
• B) Commodity money has no value apart from its use as money.
• C) In Romania under Communist Party rule in the 1980s, Kent cigarettes served as a medium of exchange. This illustrates the use of Kent cigarettes as commodity money.
• D) Fiat money must be backed by gold; otherwise it is worthless.