If people use quartz as a medium of exchange, then they _____
A) are in a barter economy.
B) are using commodity money.
C) are using token money.
D) are using legal tender.
E) are using fiat money.

Question

Quizplus · Accepted Answer

Commodity money is any good that is widely accepted for a transaction, not for direct consumption but for their value, such as gold, silver, and salt. Quartz, as a commodity with a certain value, can be used as a medium of exchange, and therefore, is considered commodity money.

If People Use Quartz as a Medium of Exchange, Then