The Fixed Exchange Rate System Established at Bretton Woods Failed

question 43

True/False

The fixed exchange rate system established at Bretton Woods failed due to speculative pressures on the U.S. dollar.

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Definitions:

Escape Learning

A type of conditioning where the subject learns to perform a behavior in order to terminate or avoid an unpleasant stimulus.

Negative Reinforcement

A concept in behavioral psychology where the removal of an unfavorable outcome or stimulus strengthens the behavior that led to its removal.

Positive Reinforcement

A strategy in behavior modification that involves the addition of a rewarding stimulus following a desired behavior, with the aim of increasing that behavior.

Punishment

The imposition of a penalty or sanction on an individual or entity for violating rules, norms, or expectations.