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Why did the gold standard cause the depression to linger? Because the standard meant less financial tools available to policy makers?
by billmalarky 11y ago
Why did the gold standard cause the depression to linger? Because the standard meant less financial tools available to policy makers?
- ArkyBeagle 11y agoTheories vary. It's believed in some theories that some nations "cheated" and held more gold than the currency offered would imply. Historically, things are just as unstable with gold as without it. And if you have productivity rises and inadequate increase in gold supplies, you get deflationary effects. This being said, fiat seems just as capable of that.