Question

Which of the following most accurately explains why fiat money has value?

A. Fiat money has value because the government declares that it has value.
B. Fiat money has value because it is a precious metal that people value in itself.
C. Fiat money has value because it is a good that can be used for some purpose.
D. Fiat money has value because it allows people to barter for goods and services.​

Answer 1

as already answered, your answer is A. Fiat money has value because the government declares it has value.

Step-by-step explanation:

took the test just now, and got this question right. :)

Answer 2

Fiat money has value because the government declares that it has value. Fiat money has value because it is a precious metal that people value in itself. Fiat money has value because it allows people to barter for goods and services.