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the difference between representative money and fiat money is that?

the difference between representative money and fiat money is that?

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the difference between representative money and fiat money is that?

the difference between representative money and fiat money is that?

Answer

Great question!
Fiat money deries it's value from law or regulation.
However representative money derives its value either from a claim on a commodity (gold for example).
However sometimes representative money means it has value higher than what it is made of, ie if you melt it down it is worth less than before it is melted down.
In this sense fiat money is a type of representative money

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Virtual Teaching Assistant: Colleen R.
Question Level: Basic
Karma: Free
Upload Date: 5/31/2017

This 20 words question was answered by Colleen R. on StudySoup on 5/31/2017. The question contains content related to Business Since its upload, it has received 185 views.

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