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What form of money has value only because the government says it does?
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∙ 10y ago
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Which form of money has value only because the groverment says it does?
All money has that characteristic.
What is the difference between a commodity form of money and token money?
A commodity form of money is when the value of the money is determined by the intrinsic worth of what makes it. For example, if the money is salt (as was used by the Roman empire) then the value of the money is the same as the value of the same weight of salt in another form. A token form of money is when a form of money (for example a coin) is created that has little or no intrinsic value, but has value because a company or person has agreed to exchange the token for a good or service of value. One example is bus tokens - small coins that can be presented on buses in exchange for transportation.
What role does government play in the circular flow of income?
Governments take part of household incomes in the form of taxes, but they also inject money back into households in the form of wages. Some of that money goes back to the government in the form of taxes
Why are dollars and cents considered to be a reliable form of money?
They are backed by the U.S. government.
What is money in the form of coins?
money in the form of coins are money which have a less value like a dollar or a 50 pence as making notes for such a less value would be wasting allot of paper and coins can be updated more easily. coins can also be carried easily.
Why does Fiat money differ from commodity money?
Fiat money differs from commodity money because it is a more convenient form of money. It is easier to carry around paper money that it is to carry around gold or silver or other commodities. Fiat money is a promise to pay in the future while commodity money derives its value from the commodity of which it is made. Fiat money has value because the government declares that it has value. Fiat money only has value as a medium of exchange.
Which form of money has value only because the governments says it does?
Fiat money
Which form of money has value only because the groverment says it does?
All money has that characteristic.
What is the difference between a commodity form of money and token money?
A commodity form of money is when the value of the money is determined by the intrinsic worth of what makes it. For example, if the money is salt (as was used by the Roman empire) then the value of the money is the same as the value of the same weight of salt in another form. A token form of money is when a form of money (for example a coin) is created that has little or no intrinsic value, but has value because a company or person has agreed to exchange the token for a good or service of value. One example is bus tokens - small coins that can be presented on buses in exchange for transportation.
What is the full form of TOLL?
Money, money and more money for the government.
What is the form of government in Tanzania?
money and controlling the government forever
Why did Rome's money finally become worthless?
Roman money finally became worthless because when Rome stopped conquering new lands, no new sources of wealth were available. Food was scarce. Making food prices go up. To pay for the food, the government decided to produce more money in the form of coins. The value of depended on the amount of silver in them. But since the government didn't have much silver, in put less and less value in the coins. (This is called inflation.) If inflation isn't controlled, money has less and less value. Roman coins soon became worthless.
Where does the government get money and what is this money used for?
The government gets money in several ways:Taxation, both indirect and direct.Borrowing, in the form of selling bondsSelling goods and servicesPrinting and minting bills and coins.Corporate money both foreign and domestic rule our government! Write or email your Congressperson and Senator. Ask them to right this travesty of government. Tell them if they don't it can only be because they profit to much from it!
Full form of MO in Indian government?
Money Order :)
What is the primary form of revenue for any governmentWhat is the primary form of revenue for any government?
Taxes and various fees are where government money is raised.
What Money collected by the government form various sources is known as?
A Fund :)
When a state government borrows money it is usually done in what form?
Bonds
