Author Question: In a fiduciary monetary system, the value of the money issued by a government is based on A) the ... (Read 94 times)

a0266361136 · **on:** Jun 30, 2018

In a fiduciary monetary system, the value of the money issued by a government is based on

A) the ability to convert it to some asset of value, like silver.
B) the gold held in that government's vaults.
C) public confidence in that currency's acceptability and predictability of value.
D) its being made out of some material with a market value equal to a bill's face value.

Question 2

Supply-side economics

A) promotes increasing taxes to create additional revenue for government spending.
B) promotes expansionary fiscal policy by increasing government spending.
C) is based on the Ricardian equivalence theorem.
D) promotes reducing taxes to create incentives to increase productivity.