Question

Which of the following best describes the advantages of using bank notes over gold and coins?

A) When traveling, bank notes would be easier to carry than gold or coins.
B) Dutch merchants did not have the same taxes, increasing the value of currency like bank notes.
C) As quantity of silver from the Americas increased, the use of bank notes increased throughout Europe
D.Increased use of bank notes by the Dutch and Spanish increased trade and lowered competition.

Answer 1

Bank notes have advantages over gold and coins, including ease of carrying when traveling, increased use due to the availability of silver from the Americas, and the promotion of trade and reduced competition.

Step-by-step explanation:

The advantages of using bank notes over gold and coins can be summarized as follows:

1. When traveling, bank notes would be easier to carry than gold or coins. Bank notes are lightweight and can be easily folded or stored in a wallet, making them more convenient for travelers compared to heavy and bulky gold and coins.
2. As quantity of silver from the Americas increased, the use of bank notes increased throughout Europe. The discovery and influx of silver from the Americas led to an increase in the availability of bank notes as a medium of exchange, as they were easier to produce than coins. This allowed for greater trade and economic growth across Europe.
3. Increased use of bank notes by the Dutch and Spanish increased trade and lowered competition. The adoption and widespread use of bank notes by the Dutch and Spanish resulted in improved trade relations and reduced competition, as the use of a standardized currency facilitated transactions and promoted economic stability.