Problem
I. Why did the French pursue a policy that would see them acquire a significant share of the world's gold?
II. How did the French acquire a significant amount of the world's gold (i.e. what was the economic mechanism)? Why didn't the market correct itself so that gold would stop flowing to France (i.e. what did the French or no do that kept trade flows from normalizing)?
III. Why did the French policy lead to deflation in other countries? Listen to: Irwin on the Great Depression and the Gold Standard.