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Ber [7]
3 years ago
5

Why did the U.S. dollar become a substitute for gold in international markets during the 20th century?

Advanced Placement (AP)
2 answers:
GuDViN [60]3 years ago
6 0

Answer:

B

Explanation:

just took the quiz

Leviafan [203]3 years ago
4 0

Answer:

The correct answer is C. The United States declared that the U.S. dollar was fiat currency .

Explanation:

Fiat money is money that has no inherent value. The value of fiat money is based on the institution that issues this money saying that it is worth something. In practice, the department is always a state. Fiat money has no coin base or is said to have a paper coin base and has only limited coverage of, for example, a gold reserve. Most currencies in the world today are fiat money, such as US dollars.

When in 1971, during the Nixon government, America abandoned the dollar's parity with the gold standard, the dollar became a fiat currency, and with the passage of time, the main international reserve currency.

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