Crochet Pattern - CP22 - Baby Shawl Afghan - USA Terminology

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Harrod and Triffin have criticized the system as it runs counter to the basic philosophy of IMF which was established to promote exchange stability. Again there are risks of foreign trade under the flexible exchange rate system and it might lead to inflationary situations. A substantial increase in the price of gold, its proponents argue, would solve the problem of international liquidity. If the price of gold was doubled, the value of the monetary stocks of gold would also be doubled.

This would obviously lead to a large increase in world liquidity.