A journey through Fiat Money

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  • What is the meaning of fiat money?

  • Whether fiat money has intrinsic value?

  • Fiat money is a legal tender. What does it mean?

  • What happens if the government declares that a  banknote of particular denomination is no longer a legal tender?

  • What happens if the government issues too much fiat money?

  • Does fiat money include both paper currency (banknotes) and coins?

  • What are the diverse forms of fiat currency?

  • Who creates fiat money?

  • Who is authorized in India to print fiat money or create digital currency in the form of bank reserves?

  • What happens if the central bank buys the government securities from the open market?

  • How the central bank can influence the money supply?

  • Fiat money has no intrinsic value whereas commodity money has intrinsic value. Comment.

  • Whether the production cost of fiat money is high or low as compared to commodity money?

  • What are the various differences between the fiat money and commodity money?

  • What are those factors which influence the value of fiat money?

  • Whether fiat money can lose its value?

  • Whether supply of fiat currency is inifinite or finite?

  • Central Bank has the authority to control and manage the supply of fiat money. Which factors influence the supply of fiat money?

  • Whether fiat money can be replaced by cryptocurrencies?

  • What are the various benefits of cryptocurrencies over fiat money?

  • What are the various challenges faced by cryptocurrencies?



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