1 - A Classical Prelude, 1880–1914

Summary

This chapter explores the operation of the classical gold standard from the end of the nineteenth century to the verge of the First World War. Beyond providing context, surveying the classical era sheds light on a recurrent theme throughout this book: gold is not monolithic. There is not one way to be "on" gold, and there are many ways to be "off" it. Even during the classical gold standard, when reality came as close as ever to approximating the textbook model, no two countries had precisely the same monetary setup, and this multiplicity would only intensify in the postwar era.