Which of the following answers applies to a form of fiat money and not a form of representative currency?(1 point)

Question

Responses

Does not derive its value from government regulation.
Does not derive its value from government regulation.

Can't be controlled by the government.
Can't be controlled by the government.

Does not represent a claim to some specific asset.
Does not represent a claim to some specific asset.

Is not widely accepted as a method of payment because it can be redeemed everywhere.
Is not widely accepted as a method of payment because it can be redeemed everywhere.

Answer 1

The answer that applies to a form of fiat money and not a form of representative currency is:

Does not represent a claim to some specific asset.

Fiat money has value primarily because a government maintains it and people have faith in its value, while representative currency is linked to a specific asset, like gold or silver, which can be redeemed.