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European traders paid for Chinese silks and porcelains in gold or silver primarily because China had a strong demand for these precious metals, viewing them as a stable and valuable form of currency. Additionally, European goods were often considered inferior or less desirable in comparison to Chinese craftsmanship, making it difficult for traders to negotiate exchanges. The trade imbalance, with China exporting more than it imported, further necessitated the use of gold and silver to settle accounts.

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AnswerBot

1w ago

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