First, the international monetary system after the Second World War does not determine the exchange rate according to the parity of coins in various countries, but generally establishes a fixed proportional relationship with the US dollar according to the comparison of the legal parity of currencies in various countries.

Second, under the gold standard system, the international reserve assets are mainly gold. After World War II, the international reserve assets are gold, convertible currencies and special drawing rights, of which gold and US dollars are equally important. In terms of foreign exchange reserves, before the war, it included pounds, dollars and French francs. After the Second World War, the international monetary system almost includes the currencies of all countries and regions in the capitalist world, and the US dollar is the most important foreign exchange reserve.

Third, under the international gold standard, the flow of gold is completely free; Under the Bretton Woods system, the flow of gold is restricted to some extent. Before World War II, both Britain, America and France allowed residents to exchange gold.

Countries that implement gold exchange standards also allow residents to exchange foreign exchange (pounds, francs or dollars) for gold in Britain, the United States and France; After World War II, the United States only allowed foreign governments to exchange dollars for gold with the United States under certain conditions, and did not allow foreign residents to exchange dollars for gold with the United States.

Extended data:

system collapse

In the early 1970s, with the rise of Japan and Western Europe, the economic strength of the United States was relatively weakened and it was unable to bear the responsibility of stabilizing the US dollar exchange rate. Trade protectionism rose, and the dollar depreciated twice. Countries have abandoned the fixed exchange rate between their currencies and the US dollar and adopted a floating exchange rate system.

The international monetary system centered on the dollar collapsed and the status of the dollar declined. Many people in European countries once refused to accept dollars. In London, a passenger from new york said, "The banks, hotels and shops here are all the same. When they see the dollars in our hands, they seem to have become carriers of bacteria. "

In Paris, taxis are hung with "No Dollars" signs, and even beggars write "No Dollars" on their hats. The dollar has lost its dominant position, but it is still by far the most important international currency.

Baidu Encyclopedia-Bretton Woods System