042108 Lecture10_Cold_War_Begins

042108 Lecture10_Cold_War_Begins - – Most-favored nation...

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Lecture 10: The Cold War Begins April 21, 2008
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Bretton Woods New Institutions IBRD IMF ITO
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International Bank for Reconstruction and Development (IBRD) World Bank (loans for reconstruction and development) Lend to Europe at low rates Private lenders unwilling to loan to destroyed Europe Refashioned to alleviate poverty in 1960s and 1970s
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International Monetary Fund (IMF) (monetary stabilization) Borrow to restore balance of payments Peg currency to gold, but allowed to revalue within 10% Dollar replaces pound as international currency
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International Trade Organization (ITO) ITO GATT WTO (trade) Forum for reducing trade barriers
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Unformatted text preview: – Most-favored nation status: non-discrimination – WTO instituted dispute settlement procedures WTO Today Marshall Plan Why the Cold War? • Traditionalists – Communism inherently expansionist – History of Russian paranoia/expansionism – Soviet occupation of Eastern Europe – Stalin’s treatment of people under Soviet control • Revisionists – US efforts at economic domination – US ideology – Legitimate Soviet fears – Bretton Woods, Marshall Plan anti-Soviet and provocative Truman Doctrine http://www.youtube.com/watch?v=wmQD_W8Pcxg&feature=related Divided Germany...
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