By raising the interest rates (in the goald standard) the capitals are attracted in the country
High interest rates attracted short term interests (speculative, not long term)
Central bank were private, they defends the value of the currency, they support the government just during the wars
Freakeconomics by Steven D. Levitt & Stephen J. Dubner
Analysing data, we could demonstrate causality or correlation.
Regression analysis could prove correlation, not causality. A positive correlation between A and B can happens because A causes B, B causes A, or an external factor causes both A and B.
Regression analysis should be carried out on samples which are identical but for the 2 aspects under investigation