300  SELLING  LATIN  AMERICA

There  are  four  monetary  systems  in  use  in
Latin  America:  (i)  the  gold  standard,
wherein  gold  is  the  only  legal  tender,  other
forms  of  money  being  maintained  at  a  parity
with  or  without  a  government  guarantee;  (2)
the  gold  exchange  standard,  wherein  gold  and
other  forms  of  money  are  legal  tender,  the  conversion ­
  of  the  legal  tender  into  gold  being
guaranteed  by  the  government;  (3)  the  silver
standard,  wherein  silver  is  the  legal  tender,
and  (4)  inconvertible  paper,  the  value  of
which  continually  fluctuates  and  is  dependent
entirely  upon  the  stability  of  the  government’s
credit.
The  gold  standard  is  used  by  Bolivia,  Cuba,
Costa  Rica,  Ecuador,  Peru,  Porto  Rico,  Santo
Domingo,  Uruguay,  the  British,  French,  Danish ­
  and  Dutch  West  Indies  and  possessions.
The  gold  exchange  standard  is  in  use  in  Argentine, ­
  Brazil,  Mexico,  Nicaragua  and  Panama. ­

The  silver  standard  is  current  in  Salvador
and  Honduras.
Inconvertible  paper  is  found  in  Chile,  Co-