Which of the Following Contributed to the Demise of the Bretton

question 52

Multiple Choice

Which of the following contributed to the demise of the Bretton Woods Accord fixed exchange rate system?

• A)a refusal by countries to make necessary changes in their exchange rates
• B)similar monetary and fiscal policies among countries that participated in the Accord
• C)similar rates of growth and inflation among countries that participated in the Accord
• D)All of the above are correct.

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Definitions:

Maximin Criterion

A decision rule used under uncertainty, focusing on maximizing the minimum payoff or outcome.

Worst-off Person

Refers to an individual in a group or society who has the lowest welfare, income, or standard of living, often considered in discussions of equity and distributive justice.

Distribution of Income

Refers to the way in which total income is shared among the holders of different types of assets within an economy.

Negative Income Tax

A tax system that collects revenue from high-income households and gives subsidies to low-income households.