Block, Siteadmin, SkipCaptcha, Upload, Automoderated users, delete, edit, move, nsTeam2RO, nsTeam2RW, nsTeam2_talkRO, nsTeam2_talkRW, protect, rollback, Administrators, template
295,057
edits
Changes
no edit summary
The essential agreement was to establish a [[gold]] standard for the world's leading currencies. Each industrialized nation would adopt a monetary policy to maintain the exchange rate of its currency within a fixed value relative to [[gold]], plus or minus one percent. The role of the IMF was to handle temporary imbalances of payments between nations.
The essential agreement was to establish a [[gold]] standard for the world's leading currencies. Each industrialized nation would adopt a monetary policy to maintain the exchange rate of its currency within a fixed value relative to [[gold]], plus or minus one percent. The role of the IMF was to handle temporary imbalances of payments between nations.
==Bretton Woods System==
You can't stop trade between people. Without trade, people starve. So aggregate exchange rates have to be established between local communities for cross border transactions. These exchange rates for cross border transactions are handled between bankers. The Bretton Woods conference established between bankers who pays who for what. More precisely what institution would accept payment from, or make payment to which institution on an approved list to count their total assets as a qualified borrower or lender. This is called the [[Bretton Woods System]]. Some of these institutions didn't exist before the conference, and were created out of the conference with aggregate assets of lenders participating in the conference to provide working capital. The institutions are the [[World Bank]], the [[International Monetary Fund]] to reconcile accounts annually between member states. And the [[Bank for International Settlements]] to settle mostly civil claims between actors.
==Petrodollar==
==Petrodollar==