As the world economy grew during the 1920s, the gold standard proved to be:
A) a real problem because the quantity of gold could not keep pace with economic expansion, resulting in severe deflation.
B) a boon to importers and exporters.
C) highly inflationary.
D) well-suited to new methods of transferring gold stocks between nations.
Ans: A) a real problem because the quantity of gold could not keep pace with economic expansion, resulting in severe deflation.
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