The Confidence Problem of the Bretton Woods Systems Articulated by Robert

question 134

Multiple Choice

The confidence problem of the Bretton Woods systems articulated by Robert Triffin refers to

• A) the unwillingness of central banks to accumulate currency for fear of not being able to convert it to gold in case a run on the banks occurs.
• B) consumer fear of stock market instability.
• C) producer fear of rising wages.
• D) the lack of convertibility of gold into silver.
• E) low consumer spending because of balance of payment crises.

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Definitions:

United States

A country in North America known for its significant influence in global economics, politics, and culture.

Price Of Apples

The cost at which apples are sold, influenced by factors such as seasonality, supply, and demand in the market.

Black Market

A market in which illegal trading takes place at market-determined prices.

Market Price

The present cost at which a service or asset is available for purchase or sale in the market.