Statement I: The U.S.and nearly all other industrial nations now operate on a system of fixed exchange rates.
Statement II: In 1971,the U.S.abandoned the gold exchange standard.

Question

Quizplus · Accepted Answer

Statement I is false as most industrial nations now operate on a system of floating exchange rates rather than fixed rates. Statement II is true as the U.S. did indeed abandon the gold exchange standard in 1971, switching to a system of fiat money.

Statement I: the U