Ch 4

Question 1

Bretton Woods conference 2 important objectives

Answer 1

1) it was important that countries cooperate with one another and make their currencies freely convertible
2) It was vital that currency values have some stability

Question 2

In which agreement did the US currency become the key international currency, and its value was linked to gold at a price of USD 35 per ounce

Answer 2

Bretton woods agreement

Question 3

Bretton wood agreement

Answer 3

1) US currency linked to gold
2) Central bank held gold reserves
3) Other central banks held gold
4) International Monetary fund was created with the objective of overseeing the world monetary markets
5) Provision were made to periodic assessment of currency values and for making adjustments to keep the global monetary system in balance