Whatever functions as money must be _____
A) varied in quality.
B) accepted as deposit by banks.
C) backed by precious metals like gold or silver.
D) completely indestructible.
E) limited in supply.

Question

Quizplus · Accepted Answer

Money must be limited in supply to maintain its value and prevent inflation. If there is an unlimited supply of money, it loses its purchasing power as more of it is produced.

Whatever Functions as Money Must Be _____