Excerpt from:
“The Twilight of Gold”
The international gold standard was historically one of the most important adjuncts to the opening of the world to settlement and development. Whatever may be said by those who never look to the woods because of the trees, this creation of a world economy constituted one of the great and beneficial turning points in the history of mankind.
The meaning of the gold standard, with its unrestrained and uncontrolled private ownership of gold, cannot be appreciated in isolation from the institutional and psychological background that characterized the civilized world in the decades before 1914.
The outstanding feature of that period was the unity of the economic world as has not been achieved at any other time. There was a freedom of travel without passports, freedom of migration, and freedom from exchange control and other monetary restrictions. Citizenship was freely granted to immigrants. Capital would move unsupervised in any direction, and these movements could take any form. International trade had to overcome tariffs, but they were exceedingly low. There were hardly any quantitative restrictions on international trade (quotas, import prohibitions, etc.).