When goldsmiths issued receipts to gold owners,and those gold receipts circulated while gold stayed in the goldsmiths' safes,
A)the gold receipts were considered money because they were used as a means of payment.
B)an infant banking system developed in sixteenth century Europe.
C)fiat money was created.
D)money was invented.
E)Both A and B are correct.

Question

Quizplus · Accepted Answer

The gold receipts acted as a form of money because they were used for transactions, and this practice contributed to the development of early banking systems in Europe.

When Goldsmiths Issued Receipts to Gold Owners,and Those Gold Receipts