Which of the Following Describes the World's Experience with the Gold

question 33

Multiple Choice

Which of the following describes the world's experience with the gold standard since the nineteenth century?

• A) Prior to World War I, it was unfavorable because of the flexibility of exchange rates.
• B) After World War I, differences among nations in their rates of inflation caused a gold exchange standard to be established in the 1920s.
• C) Downward inflexibility of wages and prices invalidated the Hume adjustment mechanism after World War I.
• D) For the most part, it worked well until after World War II, when the International Monetary Fund was established.
• E) The gold and gold exchange standards worked well until the early 1980s when gold skyrocketed and nations had to adopt flexible exchange rates.

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Definitions:

Stress-Related Syndrome

A medical or psychological condition stemming from acute or chronic stress, impacting one's health and well-being.

Self-Talk

The act or process of inner dialogue or conversation with oneself, which can influence one's feelings, behaviors, and attitudes.

Time Sample

A research method that involves observing and recording behavior at specific intervals over a specified period.

Specific Situation

A particular set of circumstances or a unique event that is distinct from others, requiring a tailored response or consideration.