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 options
Correct Answer:
Verified
Q1: Suppose that the United States is on
Q2: Suppose that country A and country B
Q4: The monetary system of bimetallism is unstable.Due
Q5: An "international" gold standard can be said
Q6: Prior to the 1870s,both gold and silver
Q7: In the 1850s the French franc was
Q8: The first full-fledged gold standard
A)was not established
Q9: In the United States,bimetallism was adopted by
Q10: The international monetary system can be defined
Q11: Gresham's Law states that
A)bad money drives good
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