Barry Eichengreen and Michael Dooley understand the current international monetary and financial system as “new Bretton Woods System.” Global imbalances such as the expanding US current account deficit in combination with a stable US Dollar exchange rate imply that Asia central banks are storing large amounts of US dollars in their international reserve portfolios. It follows a comparison of the new system with the old Bretton Woods framework relating the findings to arising potential for international political conflicts.
Inhaltsverzeichnis (Table of Contents)
- Introduction
- The Bretton Woods System
- The New Bretton Woods System
- Risks and Consequences
- Conclusion
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This text analyzes the current international monetary and financial system, described by Barry Eichengreen and Michael Dooley as the "new Bretton Woods System." It compares this new system to the original Bretton Woods framework and examines the potential for international political conflicts arising from it.
- Comparison of the original Bretton Woods system and the "new Bretton Woods System"
- Global imbalances, particularly the US current account deficit
- The role of Asian central banks in accumulating US dollar reserves
- The potential for a dollar crisis and its global economic and political consequences
- The risks and challenges posed by the "new Bretton Woods System" to international stability
Zusammenfassung der Kapitel (Chapter Summaries)
The text begins by introducing the concept of the "new Bretton Woods System" and outlining the key features of the original Bretton Woods framework. It then examines the current international monetary and financial system, highlighting the role of Asian central banks in accumulating US dollar reserves and the implications of the US current account deficit.
The text proceeds to analyze the risks associated with the "new Bretton Woods System," including the potential for a dollar crisis, and explores the possible consequences of such a crisis, ranging from global economic instability to political conflicts.
Schlüsselwörter (Keywords)
The primary keywords and focus topics of this text are: international monetary system, Bretton Woods, global imbalances, US current account deficit, Asian central banks, US dollar reserves, dollar crisis, international political conflicts, globalization, financial fragility, global economy, international trade, and capital transactions.
- Quote paper
- Natalie Züfle (Author), 2008, The new Bretton Woods system, Munich, GRIN Verlag, https://www.grin.com/document/180110
