Fixed exchange rates
A fixed exchange rate system is one where the value of the currency against other currencies remains exactly the same. A fixed exchange rate doesn't stay fixed on its own.
Fixed Exchange Rates (in banking)
Euro (finance term)
Special Drawing Rights (SDR) (finance term)
EMS
European Monetary System (international organization, Europe - in finance)
international monetary system (in finance)
European Union (EU)
ECU ...
A common reason for restricting imports, especially under fixed exchange rates, when a country is losing international reserves due to a trade deficit.
With fixed exchange rates, the Central Bank commits to support a specific level of the exchange rate (for example e°).
Bretton Woods Agreement An agreement signed by the original United Nations members in 1944 that established the International Monetary Fund (IMF) and the post-World War II international monetary system of fixed exchange rates.
The collapse of the Bretton Woods system of fixed exchange rates (see foreign exchange) resulted in an upward spiral of inflation and interest rates.
Bretton Woods system: The international monetary framework of fixed exchange rates after World War II. Drawn up by the U.S. and Britain in 1944. Keynes was one of the architects. The meetings occurred at Bretton Wood, New Hampshire, in the U.S.
Bretton woods has been strongly linked to the system of semi fixed exchange rates set up in the post war period. The Bretton Woods exchange rate system had a system of pegged exchange rates with currencies pegged to the dollar.
The gold standard, which fixed exchange rates to the value of gold during the 19th and early 20th centuries, has been long abandoned.
Between 1946 and 1971 the Bretton Woods system of fixed exchange rates employed a modified gold standard. Countries settled their international balances in U.S. dollars and the U.S.
Definition: An arrangement of fixed exchange rates which operated between 1945 and 1971. The system was negotiated at the Bretton Woods conference in 1944.
Related glossary term:
Fixed exchange rates ...
central banks' means of maintaining fixed exchange rates a method such as buying or selling of foreign currency used by central banks in maintaining equivalence between exchange rates
intervention mechanism - Related Articles ...
ERM (the exchange rate mechanism) - A system of semi-fixed exchange rates used by most of the EU countries prior to adoption of the euro. Members' currencies were allowed to fluctuate against each other only within agreed bands.
Dirty float A system between flexible and fixed exchange rates in which central banks occasionally enter foreign exchange markets to influence rates.
Bretton Woods system the international monetary system put in place after World War II; it was based on fixed exchange rates. Infrequent adjustments of the exchange rates were permitted and did occur under the Bretton Woods system. (31) ...
An official exchange rate set by monetary authorities for one or more currencies. In practice, even fixed exchange rates fluctuate between definite upper and lower bands, leading to intervention.
Fixed Income Security ...
set rate of exchange between the currencies of countries. At the Bretton Woods international monetary conference in 1944, a system of fixed exchange rates was set up, which existed until the early 1970s, ...
International finance never recovered from the strains of World War I, which caused a dramatic increase in productivity capacity, particularly outside Europe, without a corresponding increase in sustained demand. Fixed exchange rates and free ...
An agreement signed by the original United Nations members in 1944 that established the International Monetary Fund (IMF) and the post- World War II international monetary system of fixed exchange rates.
[ Previous Page ]
Personal Finance Glossary ...
Drawing upon principles of neoclassical economics, neoliberalism suggests that governments reduce deficit spending, limit subsidies, reform tax law to broaden the tax base, remove fixed exchange rates, ...
or "float" freely, without any, or minimal, Central Bank intervention. It is sometimes referred to as clean float, as opposed to a dirty float when the Central Bank intervenes to restrict exchange rate fluctuations. Opposite: Fixed exchange rates.
dollar and retained dollar reserves in the United States, which was known as the “key currency" country. At the Bretton Woods international conference in 1944, a system of fixed exchange rates was adopted, ...
 See also: Fixed exchange rate, Banks, Values, Bills, Funding
  
|
RSS
