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What Establishes the Value of Fiat Money

Question 59

Multiple Choice

What establishes the value of fiat money?


A) Our collective trust and confidence that the central government, which decrees that money cannot be refused as payment for debt.
B) Gold and silver owned by the large commercial banks.
C) The central government authority's promise to redeem fiat money for gold or silver upon demand.
D) None of the above.

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