What gives money value under a fiat system?
A) Fiat money is also a commodity.
B) The supply of fiat money is controlled by the government.
C) Fiat money is backed by gold.
D) Fiat money is the same as Treasury bonds.
B
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Answer the following statement(s) true (T) or false (F)
1. The spot market is the market for goods that are to be delivered at a particular location, or “at that spot”. 2. There are three types of decision makers in a market economy, consumers, firms and resource suppliers. 3. Tastes and preferences are relevant to individual choices for consumption but not relevant to choices for supplying labor. 4. An individual's indifference curves between labor and consumption are upward sloping because both are desired. 5. Higher wages always cause a worker to increase the quantity of labor supplied.
The formula for the CPI is 100 times
What will be an ideal response?
Borrowing generally slows an economy down because borrowers must pay interest as well as returning the principal of the loan.
Answer the following statement true (T) or false (F)
An increase in the desire to save by households will cause
A) a reduction in output. B) a reduction in investment. C) an increase in output. D) no change in investment and no change in output.