the government issues a new two - dollar and fifty cent bill. what is the intrinsic value of the new…

the government issues a new two - dollar and fifty cent bill. what is the intrinsic value of the new currency?\nnothing\n$2.50 plus or minus nominal interest\n$2.50 plus or minus inflation\n$2.50\nalways greater than $2.50

the government issues a new two - dollar and fifty cent bill. what is the intrinsic value of the new currency?\nnothing\n$2.50 plus or minus nominal interest\n$2.50 plus or minus inflation\n$2.50\nalways greater than $2.50

Answer

Answer:

A. Nothing

Brief Explanation:

The intrinsic value of modern fiat currency like the new bill issued by the government is the value of the material it is made of. Since paper bills are made of inexpensive materials such as paper and ink, their intrinsic value is essentially nothing. The value we assign to them is based on the government's guarantee and general acceptance in the economy, not on the worth of the physical materials.