goals of price stability and war finance. The government, the Bank of England and the commercial banks formed a loose … notes and for the government to finance the war effort, even with signifi cant recourse to unfunded debt. These aspects …

belligerents: Britain, France, Italy, Germany, and Austria-Hungary. At the outbreak of the war, these nations suspended … convertibility of their currencies into gold with the promise that after the war each would restore convertibility at the old par …. However, once convertibility was suspended, the value of each currency depended on the outcome of the war. I decompose …