9781422281239

The 1944 Bretton Woods Agreement established a system for managing the currency exchange rate of dozens of countries by pegging their value to the price of gold. This helped to stabilize these nations’ economies, enabling greater trade after World War II.

reconstruction was complete. Its mission now is to assist developing countries alleviate poverty. The Bretton Woods System was the second institution developed during the conference. It set the standard for international currency exchange, attempting to address the problem of arbitrary exchange rates set by member coun- tries. Exchange rates are the price of a nation’s currency in terms of another nation’s currency. Currency is not univer- sal. The United States has the US dollar, the United Kingdom has the pound, the European Union has the euro, Canada has the Canadian dollar, China has the yuan ren-

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Global Trade Organizations