What is Commodity Money?

Currency whose value comes from the material from which it is made. Traditionally, these materials are precious metals that are resistant to corrosion such as gold or silver.

What people ask…

What is commodity money and fiat money and which kind we use?
What are the advantages of commodity money?
Why does commodity money have value?
Why were coins a better form of money than fiat money?

See Also…

Semi-Numismatic

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