France and the Breakdown of the Bretton Woods International Monetary System
58 Pages Posted: 15 Feb 2006
Date Written: November 1994
French international monetary policy under Charles de Gaulle is re-examined in this paper. We argue that the objectives of French policy in the 1960s were consistent with plans developed in the interwar period and Bretton Woods of establishing a symmetrical and co-operative gold-exchange standard. The conventional American view that France purposely converted dollars into gold after 1965 to provoke the collapse of the Bretton Woods System incorrectly interprets the French strategy of using proposals for an orthodox gold standard and dollar conversions as tactics to induce the United States to cooperate in a reform of the international monetary system.
JEL Classification: F4, N1
Suggested Citation: Suggested Citation