Fiat Money

question 88

Multiple Choice

Fiat money

• A) has no intrinsic value.
• B) is backed by gold.
• C) has intrinsic value equal to its value in exchange.
• D) is any close substitute for currency such as checkable deposits.

---

Definitions:

Goods And Services

The output produced by economic activities which are either tangible products or intangible acts benefiting individuals or society.

Price Level

A metric that represents the typical prices of goods and services in an economy at a given time.

Current Year CPI

Current Year CPI refers to the Consumer Price Index for the current year, indicating the level of inflation or deflation in the economy by measuring changes in the price level of a set of consumer goods and services.

Base Year

A specific year against which economic growth, prices, or other data are measured and compared in terms of indices or other statistical measurements.