Under the gold standard, if the demand for U.S. goods increased, which of the following would happen?

Question

Quizplus · Accepted Answer

Under the gold standard, an increase in demand for U.S. goods would lead to an inflow of gold into the United States. This is because individuals and countries would pay for the U.S. goods with their own currencies, which would then be exchanged for gold at a fixed rate. The increased demand for U.S. goods would lead to an increase in U.S. exports, which would in turn increase the demand for U.S. currency and gold.

Under the Gold Standard, If the Demand for U