Question

Why did farmers and the Populist party support bimetallism vs. the gold standard?

A. To establish a sound backing into currency
B. To establish more loans so farmers can pay off their debt
C. To establish inflation by printing more money for debt relief
D. To establish deflation by printing more money for debt relief

Answer 1

Farmers and the Populist party supported bimetallism over the gold standard to alleviate their financial difficulties by increasing the money supply through inflation.

Step-by-step explanation:

Farmers and the Populist party supported bimetallism over the gold standard because they believed it would help alleviate their financial difficulties. Bimetallism, which involved using both gold and silver as currency, would increase the money supply, leading to inflation. This would benefit farmers by increasing farm prices and wages while keeping their debt burden relatively stable. On the other hand, sticking to the gold standard would result in deflation, making it harder for farmers to pay off their debts.