Currency that derives its value from the amount printed on it rather than from the value of the paper or metal from which it is made is referred to as ______ money.

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12-07-2022
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Currency that derives its value from the amount printed on it rather than from the value of the paper or metal from which it is made is referred to as ______ money.

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ewomazinoade ewomazinoade · Answer 1 · 2022-07-15T18:14:42+02:00

Currency that derives its value from the amount printed on it is known as fiat money.

What is fiat money?

Fiat money is currency whose value is not backed up by any asset. The value of fiat money is dependent on the amount printed on it. This differs from representative money whose value depends on the value of the metal from which it is made from.

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