PSC 412 Lecture 7: PSC412_Notes7
6 Oct 2016
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Document Summary
Changing from freedom $ to sweden $ Decreasing demand for this currency; relative to all other currencies. With an exchange rate, keeps and fixes currency. If the economy chooses what to do with currency and do not want their currency, then they can go to the black market for other currencies; or go to the bank to exchange for other currency. Currency controls; european countries wanted to fix exchange rates, a free flow of capital instead of individual monetary policy. Helping to rebuild western europe after wwii. Acts more like a fund instead of a bank. It was mostly to reduce poverty poverty reduction. Voting - % vote = % contribution; 85% vote needed to pass. Organization changed to just keeping thins open while closing deficits. 1997 reagan - wanted very light government! Need the us to agree on policies/ steps. Government becomes more controversial over the past 20 years.
