Commodity money is
A)backed by gold.
B)the principal type of money in use today.
C)money with intrinsic value.
D)receipts created in international trade that are used as a medium of exchange.

Question

Quizplus · Accepted Answer

Commodity money refers to money with intrinsic value, which means it has value not because of a government decree but because it has some value or usefulness apart from its use as money. Examples of commodity money include gold, silver, and precious stones. It is not backed by gold (A) or created as receipts in international trade (D). It was the principal type of money in the past but not in use today (B).

Commodity Money Is