Chap002 32 - were made fully redeemable for gold. C. was...

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18. One potential drawback of the gold standard is that A. the world economy can be subject to deflationary pressure due to the limited supply of monetary gold. B. the world economy can be subject to inflationary pressure without changes in the supply of monetary gold. C. gold is scarce. D. all of the above Topic: Classical Gold Standard: 1875-1914 Topic: Evolution of the International Monetary System 19. The first full-fledged gold standard A. was not established until 1821 in Great Britain, when notes from the Bank of England were made fully redeemable for gold. B. was not established until 1780 in the United States, when notes from the Continental Army
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Unformatted text preview: were made fully redeemable for gold. C. was established in 986 during the Han dynasty in China. D. none of the above Topic: Classical Gold Standard: 1875-1914 Topic: Evolution of the International Monetary System 20. An "international" gold standard can be said to exist when A. gold alone is assured of unrestricted coinage. B. there is two-way convertibility between gold and national currencies at stable ratios. C. gold may be freely exported or imported. D. all of the above Topic: Classical Gold Standard: 1875-1914 Topic: Evolution of the International Monetary System...
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This note was uploaded on 11/09/2011 for the course FIN IFMG201 taught by Professor Eun during the Spring '11 term at Michigan Flint.

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