The monetary system wherein little capital mobility occurred, stable exchange rates existed in order to facilitate trade, and the U.S. dollar was the primary currency to which all other currencies adjusted was known as the
A) classical gold standard system.
B) the intervening, interwar era.
C) the Bretton Woods system.
D) the post-Bretton Woods system.

Question

Quizplus · Accepted Answer

The description of the monetary system, where the U.S. dollar was the primary currency and exchange rates were fixed, is indicative of the Bretton Woods system established in 1944. The classical gold standard refers to a system where exchange rates were linked to gold reserves, the interwar era is a period between World War I and II, and the post-Bretton Woods system refers to the period after the collapse of the Bretton Woods system in the 1970s.

The Monetary System Wherein Little Capital Mobility Occurred, Stable Exchange