ECO 120 Lecture Notes - Lecture 4: Bretton Woods Conference, Bretton Woods System, Vichy France
Document Summary
Everything we covered since the second exam is fair game on the final. As for earlier material, be sure to review the following: Aimed to establish an international monetary system, as well as liberalize trade, create a fixed exchange rate and aid in capital mobility. 1944- all allies invited- yet us and uk dominate the conference as they were the strongest of the allies post wwi. Trade liberalization in the general agreement on trade and tariffs. Fixed exchange rate system- the bretton woods system- for settling international standards and replacing gold. Creation of the international monetary fund and the world bank. Imf task is to act as an international lender of last resort to assist countries with chronic imbalances. World bank"s tasks is to assist countries with economic recovery. Countries peg their currencies to gold, it was effectively a dollar-gold standard . Benefit- countries could earn interest on dollar deposits or us dollar securities.
