Monetary Systems

ABSTRACT: Throughout modern international finance, different monetary regimes existed. International monetary arrangements initially arose from the need to provide international trade with easy means of settling trans-border payments (Semmler 2019). For centuries, both domestic and international trade was carried out using gold and silver (Semmler 2019). The Gold standard during the Interwar Period since 1870, the Bretton Woods system and the following Euro currency introduction. This essay summarizing the differences between the three Monetary and currency systems: Gold standard, Bretton Woods and Euro-System and highlights the success and failures of the different approaches to guide monetary matters throughout history. KEYWORDS: Bretton Woods System, Central Banks, Currency System, Economic Stability, Euro Currency, Finance, Fiscal Policy, Gold standard, History, International Trade, Monetary Polic