When Bretton Woods was created and the world went on to the US Dollar standard, what happened to all the national debt's of all the countries like Japan, Britain, etc?

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    $\begingroup$ What do you mean by “what happened”? The Bretton Woods system fixed exchange rates versus the US dollar, but the foreign currencies and government debt still existed. $\endgroup$ Apr 17 '20 at 21:55
  • $\begingroup$ Oh ok, so no national debts got wiped. $\endgroup$
    – Source
    Apr 17 '20 at 22:14
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    $\begingroup$ The Bretton Woods system coincided with the end of WWII. Axis countries wiped the debts run up by the wartime regimes, I believe, but that was not related to Bretton Woods, rather the principle of “odious debt.” . US, UK, and others kept their debts. $\endgroup$ Apr 17 '20 at 22:59
  • $\begingroup$ @BrianRomanchuk I find the concept of odious debt fascinating, but on Wikipedia (not an authoritative source) they write that it has never been used in practice. Also it seems that the German debt was not fully cancelled and was not incurred by the Nazi regime. cadtm.org/How-Europe-cancelled-Germany-s $\endgroup$
    – Giskard
    Apr 18 '20 at 10:26
  • $\begingroup$ P.s. you should post your first comment as an answer, that is what it is. $\endgroup$
    – Giskard
    Apr 18 '20 at 10:27

The Bretton Woods system was a fixed exchange rate regime, but local currencies existed. Debt was unaffected (other than any debt repudiations that may have happened after the end of World War II).


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