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Fractional Gold Standard/Fiat Currency

Author: Kate Eskra

Source: Image of bank run, public domain, http://en.wikipedia.org/wiki/File:Bank_Run_c1933.jpg

Video Transcript
Terms to Know
Fiat Money

Money that is a recognized legal tender that is non-convertible and has no intrinsic value.

Fiduciary Currency

A currency whose value is based on “trust” or “faith” in its value.