The Formation And Influence Of The International Montary System Based On The Double Standard

This paper systematily cards and studies the international monetary system with different forms, and indicates that its evolution reflects the international monetary's great demand for the unity and monetary's social attributes has been growing stronger and stronger. On this basis, we obtain two laws of the international monetary system's evolution. One is that the core strength of the international monetary system's formation and evolution is the interest relationship and economic strength instead of system issues such as exchange rate arrangements or trading system; the other is that the government forces gradually replaced the earlier natural factors and become the dominant force leading the international monetary system's pattern and involution.U.S.A declared that it had stoped redeeming dollars for gold on August-15-1971. This action saved U.S.dollar, but opened he international monetary's new times that is "non-monetary gold". In this time, U.S.dollar lived in the core of the international monetary system. U.S.A taked advantage of this opportunity to use U.S.A's balance of payments deficit as its "financial free ride" tool in the international financial field. Under these conditions, U.S.A consolidated and expanded U.S.dollar's dominance, and established the dollar as the international standard currency. Euro quickly became another international standard currency after it circulated. Since then, the international monetary system entered into "double standard" times. In this times, U.S.dollar and Euro co-exist and co-run. To obtain more benefits, U.S.dollar and Euro are over-issued in the way of competition, which cause U.S.dollar, Euro and their assets continuously expand with high speed, and intensify the expansion of global liquidity.In the gold standard international monetary system, gold depends its strong convertibility to maintain this system stability in the early stage. However, when gold implementation of the general equivalent of the social functions, it could not escape the shackles of individual value. When currency acts as a general equivalent, its nature requests it break away any actual product, which doomed that the gold can only be a transitional form of currency. With the development of commodity economy, this system had become increasingly unstable. In addition, the huge differences in monetary arrangements and the reserves's structure, the asymmetry between economic power and external interests, external instability, its own inherent contradictions of capitalism, and other factors exacerbated this instability.Gold exchange standard international monetary system's establishment fully displays the gold and other precious metals had the gradual trend of non-monetary, and distinguished the standard currency and non-standard currency. During this period, the international monetary system's dominant force began to disappear, which leaded to a serious lack of coordination mechanism of the international economic system. This defect is the primary cause of instability in the system.The establishment of the Bretton Woods system ended the chaotic situation of its previous international monetary system, and broughtthe international monetary system into a brief period with stability. But, currency's nature of public tool has serious contradiction with its control for private interests. At the same time, its reserve mechanism and adjustment mechanism had critical flaw, and "Triffin dilemma" phenomenon become more severe with its development. All of these problems determined that the system can not maintain long-term stability.After the non-monetary gold, the instability of the international monetary system beganning from the currency. When U.S.dollar lost the limit of U.S.A's gold, U.S.dollar began to be issued without any constraint, which reducedpeople's confidence in the dollar and severely impacted the foundation of the stability of the international monetary system.Since 1980, U.S.A's economy appeared the "de-industrialization" and "economic fictionalization" phenomenon, which led the fictionalization of U.S. economy and U.S.dollar's pillars. Euro quickly obtained the status of the international standard currency after its birth, and repeated U.S.dollar's games with hinger speed than U.S.dollar, which cause the pillar's fictionalization of the euro and the euro-zone economy. What has mentioned above makes the foundation of the international monetary system seriously fictionalizate. The unity of currency in its circulation can not be shifted with men's willpower, but the euro destroyed this unity, which makes the "double standard"montary system can not be a stable institutional arrangement.According to the evolution law and the interest relation of the international monetary system, we hold that the new international monetary system should fully attach importance to every country's interests, and postively play the role of the market, and effective restraint the external supply of liquidity, and actively maintain the stability of the international monetary environment. The participation of China's powerful economic strength and the government's active promotion will makes the new international monetary system's largest trend is the monetary union of U.S.dollar, Euro and RMB, because it gives the expression of the core interest relation basing on economic strength. The new international monetary system which is based on the most powerful monetary sovereignty can restrain economic power who damage agreement through multi-fight it and maintainits stability.China's real economy and strong foreign exchange reserves creates a good foundation for RMB to seek a polar in the multi-polar international monetary system. At the present, the press from the excess of liquidity of our country, and the lighten the anticipation of RMB's appreciation, and the new international monetary system need for the RMB, and Chinese powerful state responsibility in maintaining the stability of the new international monetary system make RMB's internationalization be bery necessary. RMB's internationalization makes Chinese powerful real economy injected into the real economy into the international monetary system inject into international monetary system,which not only solve some current puzzledoms of our country's macroeconomic, but also resolve the serious contradiction betweenChinese status of largest economy and the role of small money of RMB.