International Money: Post-war Trends and Theories (Clarendon Paperbacks) - Softcover

The period since the end of World War II has been an eventful and often disturbing one in the international monetary field. Alongside the proliferation of events and their repercussions, economic theories have been propounded and modified both to explain these events and to influence future choices made by economic actors. This history of international monetary relations harnesses an analysis of events with an examination of the theories, showing both how theoretical developments affected practical developments and how the theories themselves have been judged - and often discarded - on the basis of their perceived accordance with actuality. Exchange rate movements in particular are examined in the light of the absence of any generally accepted fundamental mode, and the author deploys his own theory based on the idea of bounded rationality. Finally, he looks ahead to future possibilities for the international monetary system.