In terms of the gold standard, the amount of currency needed to purchase one ounce of gold was referred to as the:
Answers
The amount of currency needed to purchase one ounce of gold was referred to as the gold par value.
Gold standard is a system in which a country links its currency value directly to the market price of gold. If the value of gold increases then so does it's currency value and vice versa. Nowadays this type of monetary system is not found in any country.
Gold can be bought and stored and can be converted to cash at any time. The only difficulty with gold standard is that it can not be used for daily transactions.
The amount of currency needed to purchase one ounce of gold is referred to as the gold par value.
Gold is a currency but no one believes or uses it.
The price of gold fluctuates just like other currencies.
Gold can be bought and sold it when the price of gold rises to earn profit but it cannot be used as a direct payment for everyday needs.