The Bretton Woods System of 1944-1973 was a flexible exchange rate system in which member countries allowed their currencies to float within wide bands.

Question

Quizplus · Accepted Answer

The Bretton Woods System of 1944-1973 was not a flexible exchange rate system, but rather a fixed exchange rate system in which member countries pegged their currencies to the US dollar, which was in turn pegged to gold. Currencies could only fluctuate within a narrow band of plus or minus 1% of their official exchange rate.

The Bretton Woods System of 1944-1973 Was a Flexible Exchange