Question

The Coinage Act of 1792 set the relative values of silver and gold coins at 15 to 1. Suppose the relative values of silver and gold in the market was 14 to 1. In this case, a. only silver would circulate as money. b. silver would be hoarded or sold abroad. c. silver would be overvalued at the mint. d. both gold and silver would circulate as money.The dollar volume of state-bank notes received by the First Bank of the United States was _______ the dollar volume of its bank notes received by the state banks.a. greater thanb. less thanc. equal to

Answer 1

Answer:

• silver would be hoarded or sold abroad (option b).

• less than (option c)

Explanation:

The Coinage Act of 1792 set the relative values of silver and gold coins at 15 to 1. Suppose the relative values of silver and gold in the market was 14 to 1. In this case, silver would be hoarded or sold abroad (option b).

The dollar volume of state-bank notes received by the First Bank of the United States was less than (option c) the dollar volume of its bank notes received by the state banks.