Question
Consider a hypothetical economy in which rice functions as money. In addition to being valued as money, rice is valued as a consumer good. In this scenario, rice is said to be(1 point)
Responses
representative money.
representative money.
commodity money.
commodity money.
currency.
currency.
fiat money.
Responses
representative money.
representative money.
commodity money.
commodity money.
currency.
currency.
fiat money.
Answers
GPT-4o mini
In this hypothetical economy, where rice functions as money and is also valued as a consumer good, rice is said to be **commodity money**.
Commodity money is a type of money that has intrinsic value because it is made of a material that has value; in this case, rice serves both as a medium of exchange and a consumable good.
Commodity money is a type of money that has intrinsic value because it is made of a material that has value; in this case, rice serves both as a medium of exchange and a consumable good.