History of Europe

Which global economic changes occured immediately after the second world war believed to have laid foundation for contemporary nature of environment?

Bretton Woods System

* Established a system of fixed exchange rates, with the US dollar as the reserve currency.

* Provided loans to help rebuild Europe and Japan.

* Promoted free trade and investment.

Decolonization

* The independence of many African and Asian countries led to a more diverse global economy.

* New countries often had different economic policies than their former colonizers.

Rise of the United States

* The United States emerged from the war as the world's leading economic power.

* US companies invested heavily in Europe and Japan, helping to rebuild their economies.

* The US also provided foreign aid to many countries to help them achieve economic development.

Technological Change

* The war accelerated the development of new technologies, such as jet engines, computers, and synthetic materials.

* These technologies were used to boost productivity and create new industries.

Increased Global Trade

* The volume of global trade increased significantly after the war.

* This was due to several factors, including the lowering of trade barriers, the expansion of the global economy, and the development of new transportation technologies.

The emergence of multinational corporations

* Multinational corporations are companies that operate in multiple countries.

* They played a major role in the post-war economic boom, as they helped to spread technology and investment around the world.