Word: dollars
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Dates: during 1960-1969
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...international currency system, like any currency system, is grounded in confidence and mutual acceptability; the currency used must be freely convertible into real goods and services, "legal tender for all debts, public and private." The dollar and the pound sterling have served this function between nations since the Bretton Woods Agreement of 1944, which established the International Monetary Fund and the present system of semi-flexible exchange rates...
...tiered price for gold announced Sunday afternoon is commonly admitted to be only a stopgap measure. In order to restore confidence in the dollar, the U.S. has to cool its overheated economy and reduce the payments deficit. There are a number of coolants available. The Federal Reserve can raise the discount rate in order to curb investment demand, which it has done, or it can take steps to check the growth of the money supply or even reduce it. But neither of these methods will be adequate; it has become necessary to sharply reduce the federal budget deficit...
Since the dollar serves as a substitute for a genuine international currency, expanding international trade requires an expanding supply of dollars to be used in transactions. Dollars are supplied to the international economy only when the U.S. has a balance-of-payments deficit, which means that U.S. deficits must provide the lubricant for international trade. Thus the inherent contradiction in the present system: U.S. deficits are essential to expanding trade, but a chronic deficit causes loss of confidence in the dollar, which must be restored by reducing the deficit--which serves to check expansion of international trade...
...alternate solution to the crisis is to raise the price of gold. Willett said that this would "reward our enemies, who have bought heavily in gold, and hurt our friends," who have been selling it to support the dollar...
Admission will be one dollar paid at the door...