Natalie's essay topic will be the history of currency in the US and the pros and cons associated with the abandonment of the gold standard in 1971. Natalie is reading supplemental material and first completing a study guide outline on the subject before we create a formal outline. We discussed some of the reading in class ,specifically the use of Spanish gold coins and barter in the colonies ,and the etymology of the word "dollars" as applied to US currency. I again reviewed the concept of the gold standard and suggested Natalie keep in mind while she reads the supplemental material the benefits and drawbacks of the now abandoned system. Ultimately, the value of paper money today is simply based on faith , including faith that the Federal Reserve will act to preserve its value. After Natalie completed the first section of the study guide on money in Colonial America ,I then pointed out that the US Constitution did not authorize Congress to print paper money.We also reviewed a quiz Natalie took last night for homework on the business cycle and economic indicators. Natalie did well on the exercise. For homework, I assigned completing section II of the outline/study guide on the evolution of printing paper money in the US.