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There are two questions here.
A legal tender that's not based on a commodity is a "Fiat currency." Fiat is a Latin word meaning, "let it be done," and they use the word because a fiat currency has value by government decree.
But a legal tender that's not convertible into a commodity? No such thing--if you have enough legal tender to do it, you can convert US Dollars, euros, Chinese renminbi or anything else you have into just about any commodity you want just by going to a dealer and buying some of it. (Crude oil is the only exception--you have to be a refinery to buy that.)
What else can I help you with?
Why is paper currency considered flat money?
Paper currency is considered flat money because it has no intrinsic value and is not backed by a physical commodity, such as gold or silver. Its value is derived from the trust and confidence that people place in the issuing government and its economy. Unlike commodity money, which has value based on the material it is made from, flat money is accepted as a medium of exchange solely because of legal tender laws and societal agreement. This allows it to function effectively in modern economies.
What was the factory new price for a mustang convertible from 1973?
The prices are based on retail # The V6 convertible was $3,102.00 # The V8 convertible was $3,189.00
Much of the economic growth of Texas is based on which commodity?
Oil
Are the National collector's mint real?
The National Collector's Mint is a real company and it is selling real things, obviously for collectors. Are the coins genuine? it depends. They DO sell real legal tender and historical coins. Legal meaning issued by the Official U.S. Mint. AND they also sell PROOFS and COMMEMORATIVES Proofs are recreations/copies of real/historical coins and therefore not legal tender, but can be based on official coins. A.K.A. the coins that collectors go for. Commemoratives honor specific events or things, so they can be official commemoratives or privately issued. (again not legal tender)
How are Commodity trading advisor paid?
Usually based on a percentage of the profits.
What is the RITC code of custom?
Ritc code is a code based on the commodity
What type of money has value based on intrinsic worth?
Commodity money
Difference of flat money and commodity money?
Flat money, also known as fiat money, is currency that has value primarily because a government maintains it and people have faith in its value, rather than being backed by physical commodities. In contrast, commodity money is backed by a physical asset, such as gold or silver, giving it intrinsic value. While fiat money relies on trust and legal frameworks, commodity money derives its value from the material it represents. Thus, the key difference lies in the source of their value: fiat money is based on trust, while commodity money is based on tangible goods.
What is the best model of Chrysler convertible?
The best convertible made by Chrysler is very subjective based on individual likes. However the 2013 200 Convertible is a beautiful car and has excellent reviews
How does one find a good online commodity broker?
An online commodity broker is someone who places online trades on behalf of their clients. It is a good idea to choose a commodity broker that is based nearby, as this means you will be able to meet them. FutureSource and FutureBuzz have many listings for commodity brokers.
What is commodity or product approach?
Commodity = needs Product = quality In my POV, the commodity approach merely focuses on the consumers' demands whilst the product approach focuses on bringing consumer demand by creating a product that's of great quality.
What does explains the difference between fiat money and commodity money?
Fiat money is currency that has value primarily because a government maintains it and people have faith in its value, rather than being backed by a physical commodity. In contrast, commodity money is based on the value of a physical good, such as gold or silver, which has intrinsic value. While fiat money relies on trust and legal status, commodity money derives its value from the material it is made of. This fundamental difference influences how each type of money is perceived and utilized in the economy.
