History of currency convertibility: Where did the original concept arise? Consider early monetary regimes that defined convertibility into specie (e.g., gold). Choose the correct option.
General Knowledge
Indian Economy
Difficulty: Medium
Choose an option
-
ABritain under the classical gold standard
-
BBretton Woods Conference, USA (1944)
-
CAncient Rome
-
DPost-war Japan
Answer
Correct Answer: Britain under the classical gold standard
Explanation
Concept
- Currency convertibility in its original sense meant convertibility of notes/deposits into specie (gold/silver).
- The classical gold standard (19th–early 20th century), pioneered by Britain, codified this idea in modern monetary practice.
Final AnswerBritain under the classical gold standard