Which of the following is true of the gold standard used from 1870 to 1914? It propelled the dollar to the commanding heights of the global economy. Banks were free from the need of maintaining gold reserves. Gold was used as the common denominator for all currencies. It was highly volatile global peg system.

Gold was used as the common denominator for all currencies.

Explanation:

The classical gold standard started in the 1870s and lasted until World War I. At that time, money was basically either metal coins (gold, silver or copper) or bank notes backed up by metal inventories.

Later, during the early 1940s, the US government decided to foster a new gold standard through the Bretton Woods system that was in place between 1944 up to 1973.