international monetary system

international monetary system, rules and procedures by which different national currencies are exchanged for each other in world trade. Such a system is necessary to define a common standard of value for the world's currencies.

Sections in this article:

• Introduction
• Floating Exchange Rates and Recent Developments
• The Two-Tier System
• The Gold-Exchange System
• The Gold and Gold Bullion Standards
• Bibliography

The Columbia Electronic Encyclopedia, 6th ed. Copyright © 2024, Columbia University Press. All rights reserved.

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