Do Old Habits Die Hard? Central Banks and the Bretton Woods Gold Puzzle PDF Download

Are you looking for read ebook online? Search for your book and save it on your Kindle device, PC, phones or tablets. Download Do Old Habits Die Hard? Central Banks and the Bretton Woods Gold Puzzle PDF full book. Access full book title Do Old Habits Die Hard? Central Banks and the Bretton Woods Gold Puzzle by Eric Monnet. Download full books in PDF and EPUB format.

Do Old Habits Die Hard? Central Banks and the Bretton Woods Gold Puzzle

Do Old Habits Die Hard? Central Banks and the Bretton Woods Gold Puzzle PDF Author: Eric Monnet
Publisher: International Monetary Fund
ISBN: 1513508857
Category : Business & Economics
Languages : en
Pages : 32

Get Book Here

Book Description
Why did monetary authorities hold large gold reserves under Bretton Woods (1944–1971) when only the US had to? We argue that gold holdings were driven by institutional memory and persistent habits of central bankers. Countries continued to back currency in circulation with gold reserves, following rules of the pre-WWII gold standard. The longer an institution spent in the gold standard (and the older the policymakers), the stronger the correlation between gold reserves and currency. Since dollars and gold were not perfect substitutes, the Bretton Woods system never worked as expected. Even after radical institutional change, history still shapes the decisions of policymakers.