The Bretton Woods system
A) represented the first time that governments explicitly made exchange rates a matter of international cooperation.
B) was a form of floating exchange rates.
C) was not fully implemented until 1949.
D) was an attempt to limit domestic economic autonomy after WW II.
E) was unsuccessful at establishing exchange rate stability in spite of rapid growth in international trade after WW II.

Question

Quizplus · Accepted Answer

The Bretton Woods system was a post-WW II agreement among governments to cooperate on exchange rate stability, making it the first time that governments explicitly made exchange rates a matter of international cooperation.

Answer: D
 The Bretton Woods system did attempt to limit domestic economic autonomy after WW II by placing restrictions on currency exchange rates and requiring member countries to maintain fixed exchange rates.

Answer: E
 Although the Bretton Woods system saw rapid growth in international trade after WW II, it ultimately failed at establishing exchange rate stability due to various economic challenges and imbalances among member countries.

The Bretton Woods System