Search results for: “gold standard”
-
Gold Standard
Summary of Gold Standard A system under which a nation's currency is freely convertible into gold. The quantity of gold per unit of currency is fixed by law. Most major trading nations, however, abandoned the gold standard because of the constraints it imposes upon liquidity, although […]
-
Gold Standard
Summary of Gold Standard A system under which a nation's currency is freely convertible into gold. The quantity of gold per unit of currency is fixed by law. Most major trading nations, however, abandoned the gold standard because of the constraints it imposes upon liquidity, although […]
-
Gold Exchange Standard
A condition in which a nation maintains its reserves in a currency convertible into gold rather than in the metal itself. Since August 15, 1971, the U.S. dollar has not been freely convertible into gold by foreign central banks; it therefore does not qualify as a reserve currency for a nation on a g…
-
Gold Exchange Standard
A condition in which a nation maintains its reserves in a currency convertible into gold rather than in the metal itself. Since August 15, 1971, the U.S. dollar has not been freely convertible into gold by foreign central banks; it therefore does not qualify as a reserve currency for a nation on a g…
-
International Gold Bullion Standard
A Gold Bullion standard (read this and related legal terms for further details) that permits redemption of currency into gold only for purposes of export….
-
Gold Bullion Standard
A monetary policy that permits redemption of currencies into gold, but only for significant amounts. Under a true gold standard, all currency is redeemable into gold on demand; under a gold bullion standard, gold might be redeemable only in minimum lots of one ingot….
-
Gold Reserves
The gold held by a nation as reserves for currency issued. After U.S. abandonment of the gold standard in 1933, Congress mandated that the Federal Reserve banks would have to hold gold certificates, reflecting gold on deposit with the U.S. Treasury equivalent to at least 25 percent of currency […]
-
Standard Bullion
Gold or silver in bars of the same composition as gold or silver coins. Since gold and silver coins consist of 90 precent precious metal and 10 percent base metal (usually copper), standard bullion would consist of a like mixture of precious and base metals. In effect, the bullion is suitable for im…
-
Single Standard
A condition in which a nation endows a single metal as the basis of the monetary stock. This system is also known as monometallism. As a practical matter, virtually all commercial nations use gold as the standard….
-
Qparallel Standard
A system under which a nation coins at least two metals, usually gold and silver, without establishing an exchange ratio between the metals. See bimetallism, mint par of Exchange….
-
Gold Points
A variation in the value of two gold standard currencies against the value of physical gold so as to warrant the export of gold. For example, if the exchange rate for French francs rose above a certain point, it would be more profitable to export gold to France and sell it for francs than to…
-
Gold Sterilization
A governmental policy to prevent the expansion of a nation's money supply by preventing the accumulation of gold. In the case of a nation on the Gold Standard (read this and related legal terms for further details), …
-
Gold Certificates
Paper currency issued by the U.S. Treasury denominated in dollars and freely convertible by the bearer into gold at the fixed rate. When the United States went off the gold standard in 1933, gold certificates were removed from circulation, except for use by Federal Reserve banks….
-
Fiat Standard
A monetary system in which the money in circulation is not redeemable in any other form of money (e.g., gold) but has value simply by virtue of its issuance by governmental authority….
-
Double Standard
A program of precious metal coinage in which the nation employs two standards of value, usually gold and silver, each having a fixed ratio of value (the mint ratio). Under this system, either metal, in coined form, stands as legal tender. The double standard differs from bimetallism, with which it i…