Which of the Following Was NOT Considered to Have Been

question 47

Multiple Choice

Which of the following was NOT considered to have been a drawback of the pre-1914 gold standard?

• A)It sometimes led to inflation, which several times in the late nineteenth century caused recessions in the United States.
• B)Countries had little control over their domestic monetary policies.
• C)Countries with trade deficits experienced deflation.
• D)Changes in the world money supply were strongly influenced by gold discoveries.

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Definitions:

Reports

Documents that present data, findings, and analysis on various subjects, often used in business and research to inform decisions.

Equilibrium Price

The price at which the quantity demanded by consumers equals the quantity supplied by producers, leading to a stable market condition.

Consumer Surplus

The variance highlighting consumers' willingness to pay a higher amount than what is actually spent on a good or service.

Economic Signals

Indicators or pieces of information that guide economic decisions and actions by conveying important data about market conditions.