Under the Gold Standard

Under the gold standard

A) a shortage of currency leads to low domestic prices and a foreign payments surplus.
B) a shortage of currency leads to high domestic prices and a foreign payments surplus.
C) a shortage of currency leads to low domestic prices and a foreign payments deficit.
D) a shortage of currency leads to low domestic prices but leaves the foreign balance of payments at equilibrium.
E) a shortage of currency leads to a perpetual surplus.