Question

Which of the following illustrates the difference between the U.S. dollar, a form of fiat money, and a U.S. gold certificate, a representative currency? (1 point)

• A gold certificate does not have value in addition to its value as money.
O A U.S. dollar does not have value in addition to its value as money.
• A gold certificate does not represent a claim to some specific asset.
• A U.S. dollar does not represent a claim to some specific asset.

Answer 1

- A gold certificate represents a claim to a specific amount of gold held by the government, while a U.S. dollar does not represent a claim to any specific asset.