Which of the following is the most likely underlying reason for the demise of the Bretton Woods system?
A) U.S. trade deficits
B) creation of the EU
C) gold depreciation
D) WTO restrictions

Question

Quizplus · Accepted Answer

The Bretton Woods system collapsed primarily due to the inability of the U.S. to maintain the gold standard, which was exacerbated by increasing U.S. trade deficits. This led to a lack of confidence in the U.S. dollar's value being fixed to gold, ultimately making the system unsustainable.

Which of the Following Is the Most Likely Underlying Reason