ABSTRACT
The American Currency Revolution of 1922, establishing a policy of dollar stabilisation, did not prejudice the harmonious relations between British and American currency policies which had continued since the war. The severe dislocation to the internal industry of the country, just as it was settling down to post-war conditions, was supplemented by a prolonged and damaging currency conflict between Britain and the United States. The complete incompatibility between the sterling and the dollar standards after 1925 took the form of different policies of credit and currency control. That policy of allowing the pound to find its neutral, or natural, value was the British currency policy both in 1922-24 and in 1931-34. The American variant lingered on for another eighteen months and then brought the United States to a financial and industrial collapse greater even than that which Britain had suffered.
