Question : Which law states that bad money drives good money out of circulation?
Option 1: Wagner's law
Option 2: Grimm's law
Option 3: Gresham's law
Option 4: Keynes' law
Latest: SSC CGL preparation tips to crack the exam
Don't Miss: SSC CGL complete guide
Correct Answer: Gresham's law
Solution : The correct option is Gresham's law.
Gresham's law states that money of lower quality will eventually replace the higher value. It's a principle commonly invoked to explain situations involving two types of value circulating concurrently, one possessing greater intrinsic worth (good money) and the other of lesser value .
Related Questions
Know More about
Staff Selection Commission Combined Grad ...
Answer Key | Eligibility | Application | Selection Process | Preparation Tips | Result | Admit Card
Get Updates BrochureYour Staff Selection Commission Combined Graduate Level Exam brochure has been successfully mailed to your registered email id “”.