A monetary system by which a nation defines the value of its currency based on certain amounts of two precious metals (gold and silver). This country undertakes to exchange any amount of paper currency for the equivalent amounts of either of the two metals. The amount of money that can be put into circulation also depends on the reserves of these metals. Most countries no longer use this standard, with the fiduciary standard being the most common.
« Back to Glossary IndexBimetallic standard
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