Paper money in Canada,which has no intrinsic value but can be converted to a valuable good on demand and is used as a medium of exchange,is an example of:

Question

Quizplus · Accepted Answer

Paper money in Canada has no intrinsic value and is not backed by a commodity such as gold. Instead, it is referred to as fiat money, which is currency that is not backed by any physical commodity but is instead backed by the government that issued it. Its value is derived from the faith people have in the government and its economy.

Paper Money in Canada,which Has No Intrinsic Value but Can