What is Eichengreen's view on the gold standard?
My work, particularly in 'Golden Fetters,' highlights how the rigidities of the interwar gold standard contributed significantly to the severity and duration of the Great Depression. It constrained national policymakers, preventing them from using monetary and fiscal tools effectively to combat unemployment and deflation. The experience demonstrated the limitations of a fixed exchange rate system that prioritized international monetary stability over domestic economic management.
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