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The Nixon Shock and the Transformation of the Global Monetary Order: From Gold-Linked Stability to Flexible Financial Governance
The Nixon Shock of 1971 is one of the most important turning points in modern economic history. It marked the end of the direct convertibility of the United States dollar into gold and opened the way for a more flexible global financial system. Before this event, the international monetary order was shaped by the Bretton Woods system, in which currencies were linked to the U.S. dollar, and the dollar was linked to gold. This arrangement created a framework of stability after
May 621 min read
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