In the world of finance, we often come across the term "fiat money." But what exactly does it mean? To put it simply, fiat money refers to paper money that has been declared as legal tender by the government, but is not backed by any physical commodity such as gold or silver. This means that its value is based solely on the faith and credit of the issuing government. While this may seem like a straightforward concept, the implications of fiat money can be quite complex and have a significant impact on our economy. Let's delve deeper into this topic and explore its various aspects.
