To ensure that ________ will be accepted, the U.S. government implicitly promises the public that it will not print money so fast that it loses its value.

Question

Quizplus · Accepted Answer

The phrase "print money so fast that it loses its value" refers to the concept of inflation, which occurs when too much money is in circulation relative to the available goods and services. This is a concern specifically for paper money, as it can be printed relatively easily and rapidly by the government. Therefore, to ensure that paper money will be accepted, the U.S. government implicitly promises to control inflation and maintain the value of the currency. Commodity money (B) is tied to a specific commodity, such as gold, and is not subject to the same inflationary pressures. Barter cash (C) and exchange rates (D) are not directly related to the government's ability to control inflation and maintain the value of paper currency.

To Ensure That ________ Will Be Accepted, the U