USA HISTORY

WESTWARD EXPANSION INDUSTRIALIZATION URBANIZATION 1870 1900

WESTWARD EXPANSION

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Bimetallism ____
A
is the reliance on gold and silver
B
is the reliance on silver
C
is the reliance on gold
D
is the reliance on aluminum
Explanation: 

Detailed explanation-1: -A bimetallic standard, or bimetallism, is a monetary system in which a government recognizes coins composed of both gold or silver as legal tender. The bimetallic standard backs a unit of currency to a fixed ratio of gold and/or silver.

Detailed explanation-2: -Bimetallism was intended to increase the supply of money, stabilize prices, and facilitate setting exchange rates. Some scholars argued that bimetallism was inherently unstable owing to Gresham’s law, and that its replacement by a monometallic standard was inevitable.

Detailed explanation-3: -The Free Silver Movement was a political movement that proposed returning to “bimetallism”: Those in the movement wanted money backed by silver to be added to the money supply, which was backed by gold. Adding to the money supply would have ended the deflation and created the possibility of inflation.

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