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New deposits of silver deposits in andes mountains

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Reference no: EM132398444

Suppose that Patagonia is on a bimetallic standard, that is, both gold and silver coins circulate as currency. The face value of a gold coin is $30. The face value of a silver coin is $2. c

  • The will be no change in the circulation of gold and silver coins since their face values are fixed.
  • Only gold coins will circulate.
  • Only silver coins will circulate.
  • None of the options.
  • The market value of both gold and silver bullion will rise as people begin to hoard precious metals.

Reference no: EM132398444

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