On which of the following principles was the Bretton Woods System based on?
A)Fixed exchange rates
B)Currency convertibility
C)Free trade
D)All of the above

Question

Quizplus · Accepted Answer

The Bretton Woods System was based on all of the above principles - fixed exchange rates, currency convertibility, and free trade. The system created a fixed exchange rate system where currencies were pegged to the US dollar, which in turn was pegged to gold, ensuring currency convertibility. The system also promoted free trade through the creation of the International Monetary Fund (IMF) and the International Bank for Reconstruction and Development (IBRD), both of which aimed to promote economic development and reduce barriers to trade.

On Which of the Following Principles Was the Bretton Woods