Jasslyne D.

Gildo BSA 2-A

Engage:

1. CURRENCY

Explore:

1. Yuan

2. Yen

3. Dolllars

4. Pound

5. Peso

Explain:

1. Gold has been used as a currency for thousand of years. It is rare ,non corrosive material. Specially in
era where there were no global currencies, gold was major mode of transaction in international trade.
Aside from gold being used as de facto currencies even before modern times, I think the reason why
gold was chosen as backup of currencies back then because in comparison to silver it has much higher
worth/wt ratio, thus making storage and transportation easy.

2. If the gold standard is really reliable, then we still should be using it as a backup of currencies until
know. Judging from the currencies that we are using now, I don't think gold was a reliable standard of
currencies. In addition, according to my research, the gold exchange standard was causing deflation and
unemployment to run rampant in the world economy, and so countries began leaving the gold standard
en masse by the 1930s as the Great Depression reached its peak.