Under the gold standard:
A) the United States set the price of gold at $35 per ounce, and other countries then established their exchange rates against the U.S. dollar (e.g., £1 = $5).
B) Great Britain and the United States set the price of gold at $35 per ounce and £7 per ounce, and then other countries established their exchange rates against either the British pound or the U.S. dollar.
C) all countries pegged the values of their currencies to gold.
D) only gold was used to settle international transactions.
Ans: C) all countries pegged the values of their currencies to gold.
You might also like to view...
What famous economist said that the market economy seemed to be controlled by an invisible hand?
a. Alfred Marshall. b. Adam Smith. c. Karl Marx. d. Robert L. Heilbroner.
The market level (magnitude) of economic rent is determined by the
a. supply side of the market. b. demand side of the market. c. intersection of supply and demand. d. elasticity of demand for land.