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RoseWind [281]
3 years ago
11

Which best explains the difference between fiat money and commodity money?

Business
2 answers:
kirill [66]3 years ago
8 0

Fiat money is paper money that has been made legal by a government decree. This is government-issued money but there is no silver or gold value backing it up. Commodity money is money that comes from the commidity in which the money is made. The objects have value within themselves and can changed based on the value of the object.

lana [24]3 years ago
4 0

Answer:

Commodity money can be used for some other purpose while fiat money can only be used as a medium of exchange

verified on  a p e x

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