All of the following are problems associated with commodity money EXCEPT
A)it is a cumbersome form of payments system.
B)commodities tend to have little value in and of themselves.
C)its value is dependent on its purity.
D)costs were incurred in certifying the purity and weight of commodity money.

Question

Quizplus · Accepted Answer

This statement is incorrect as commodities have value in and of themselves, such as gold and silver. The other statements are true, such as the cumbersome nature of commodity money and the costs associated with certifying its purity and weight. The value of commodity money is also dependent on its purity, particularly in the case of precious metals.

All of the Following Are Problems Associated with Commodity Money