QUESTION IMAGE
Question
use the passage to answer the question.
like other mined minerals, gold is a finite resource. most of the largest gold mines in the world will be stripped within less than a century. so, the united states should not return to the gold standard.
adding which statement will help the listeners follow the passage better?
(1 point)
the united states was on the gold standard until 1971, and since then unemployment rates have risen and average incomes have remained stagnant
returning to the gold standard would limit the amount of money in circulation to the amount of gold available, and if gold ran out, that could cause problems
more gold would have to be obtained to produce more currency under a gold standard, so gold’s market price would rise, and more gold would be mined
it’s important for the federal reserve to be able to control the amount of currency available in order to better secure the country against a recession
The passage argues against returning to the gold standard because gold is a finite resource, with major mines depleting soon. The correct supporting statement directly connects the gold standard's reliance on finite gold to potential problems, aligning with the passage's core point. Other options either discuss unrelated post-1971 trends, market responses, or Federal Reserve roles that are not the focus of the passage's argument.
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Returning to the gold standard would limit the amount of money in circulation to the amount of gold available, and if gold ran out, that could cause problems.