Author Question: What do you think about international Chapter 11? What will be an ideal ... (Read 56 times)

Deast7027 · **on:** Jun 30, 2018

What do you think about international Chapter 11?

What will be an ideal response?

Question 2

The dollar of the United States became the postwar world's key currency because of all EXCEPT

A) the early convertibility of the U.S. dollar in 1945.
B) the special position of the dollar under the Bretton Woods system.
C) the strength of the American economy relative to the devastated economies of Europe and Japan.
D) central banks naturally found it advantageous to hold their international reserves in the form of interest-bearing dollar assets.
E) the ease of transporting U.S. dollars compared with other currencies.

jonathanballen97 · **Reply #1 on:** Jun 30, 2018

Answer to Question 1

A formal procedure whereby a country can seek international legal authorization to temporarily stop paying its debt and then negotiate a settlement that gives it more time to repay, or in extreme cases, actually writes off part of its obligations. The answer is that such an idea is probably a good idea, but again more moral hazard.

Answer to Question 2

E