The Gold Standard Act is ratified, placing the United States currency on the gold standard.
The Gold Standard Act is a United States federal law that was enacted in 1900. It established gold as the only standard for redeeming paper money, meaning that paper currency could be redeemed for a fixed amount of gold. The law set the value of a gold dollar at $1.505632, which meant that one ounce of gold was worth $20.67.
The Gold Standard Act was intended to stabilize the value of the currency and to promote economic growth. It was also seen as a way to prevent inflation and to restore confidence in the U.S. monetary system, which had been shaken by the Panic of 1893.
The Gold Standard Act remained in effect until 1933, when President Franklin D. Roosevelt issued an executive order that effectively ended the gold standard. This was done in response to the economic crisis of the Great Depression, and the U.S. government’s need for increased flexibility in monetary policy.