The Origins of the Post-Bretton Woods Order

• In Event: Looking Back to Move Forward: Economic Liberalism in Historical Perspective

Abstract

Following the collapse of the Bretton Woods system in 1971, a new international economic order was established. This paper applies a historical analysis to understand the origins of the post-Bretton Woods order. In particular, it process traces the development of the international trade regime, under the leadership of the United States, from the 1960s to the 1990s. In doing so the paper illustrates how and why the post-Bretton Woods order is structured the way it is, and discusses the consequences of this. Through understanding the origins of the post-Bretton Woods order, the paper will provide insight into why the order is currently in crisis, driven by a backlash against ‘globalism’ by certain constituencies in the United States and elsewhere. The paper argues that there are a number of contradictions in the order which stem from how it was created. These contradictions are increasingly threatening the viability in the order, and unless they are addressed, will result in its collapse.

Author

• Madison Cartwright, University of New South Wales