《金融英语 Financial English》课件Chapter 15.pptVIP

Chapter 15 Macroeconomics of International Currencies International monetary system Teaching Objectives By the end of the chapter, students should be able to know about: How international currencies originated Why there lacks currency substitution The Bretton Woods system International monetary system Teaching syllabus This chapter will cover 3 hours.2 hours for explanation of terms and the texts. And the other one hour is for discussion and practice. Teaching methodologies 1. Translation: key sentences and terms 2. Paraphrasing: major words and sentences 3. Summarizing: important paragraphs 4. Discussion: key issues 5. Questions and answers Background information By the early 1970s, the demise of the Bretton Woods system resulted in fundamental changes in the way international monetary system worked. Most important among the changes was that the supply and the composition of international liquidity became endogenously determined and the international monetary system departed from a commodity system. The international monetary system is the framework within which countries borrow, lend, buy, sell and make payments across political borders. So far the world has gone through the following types of monetary system: the gold standard the gold exchange standard flexible exchange rate system managed float Important sentences and words 1. fiat system 法币/不兑换纸币体系 A monetary system in which the value of money (usually paper money) is determined by a government’s fiat or decree. 2. commodity standard 商品本位制 A monetary system in which the value of money is based on a physical commodity such as gold or silver 3. gold standard 金本位制 A monetary system that backs its currency with a reserve of gold, and allows currency holders to convert their currency into gold. The U.S. went off the gold standard in 1971. 4. deregulated financial market 取消管制/自由化的金融市场 Financial markets whose legal restrictions are lifted. 5. capital flow 资本流动 The movement of funds across political borders. 6