Which of the Following Is True of the Gold Standard

question 30

Multiple Choice

Which of the following is true of the gold standard used from 1870 to 1914?

• A) It was highly volatile global peg system.
• B) Banks were free from the need of maintaining gold reserves.
• C) It propelled the dollar to the commanding heights of the global economy.
• D) Gold was used as the common denominator for all currencies.

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Definitions:

Spanish-American War

A conflict between the United States and Spain in 1898, resulting in the U.S. gaining territories in the Pacific and the Caribbean, such as Puerto Rico, Guam, and the Philippines.

American Imperialism

A policy aimed at extending the political, economic, and cultural control of the United States government over areas beyond its boundaries.

Benevolent Power

A term used to describe a government or organization exercising power in a kind-hearted or benevolent manner, often with the aim to improve wellbeing.