--%>

Bretton Woods’s system programmed to eventual demis

Comment over the below proposition: “One can say that Bretton Woods’s system was programmed to the eventual demise”. 

E

Expert

Verified

Explanation to this proposition is related to Triffin paradox. Underneath gold-exchange system, reserve-currency country must run the BOP deficit in order to provide the reserves to economy of the world, however if deficits are huge and persistent, they may lead to the confidence crisis within the reserve currency itself, finally resulting the downfall of system.

   Related Questions in Financial Accounting

  • Q : Calculating Dixons Retail plc in

    Q : Portfolio of Sharemarket SHAREMARKET

     SHAREMARKET ASSIGNMENT SHEET  - Select a share portfolio consisting of one company from each group listed above. The total value of your portfolio should add up to

  • Q : What is Internal Communication Internal

    Internal Communication: Employee or Organizational Communication refers to the phenomenon of interaction among employees that exist in organizations. In other words, it could also be termed as Internal Communications.

    Q : Relationship-To Look for in each other

    What is Relationship and what are the traits that make any relationship happy and committed forever ?

  • Q : Discuss to what extent does risk and

    to what extent does risk and term structure affects interest rates of financial instruments.

  • Q : Trend of Gross profit of Company

    Describe the trend of Gross profit of Company?

  • Q : Computing cross-rate matrix Compute

    Compute cross-rate matrix for French franc, Japanese yen, German mark, and the British pound. Utilize most recent European term quotes in order to compute the cross-rates in order that the triangular matrix result is same as that of the portion above diagonal in Exhib

  • Q : Asian firms building the production

    Since NAFTA was developed, several Asian firms particularly those from the Korea and Japan has made the extensive investments in the Mexico. Why do you think these Asian firms decided to build the production facilities in the Mexico?

  • Q : Matlab Applications in Communication

    Communication system is the discipline in engineering curriculum which is more of the conceptual rather than theoretical. Mainly student faces trouble in understanding the core concepts of this topic. We have team of highly competent and prac

  • Q : What is Bankers acceptance What is

    What is Bankers acceptance and what is its role?