The Bretton Woods system, established in 1944, was designed to address the economic challenges of the post-World War II era. Which of the following statements best explains the role of the International Monetary Fund (IMF) within the Bretton Woods framework?
1
The IMF provided long-term development loans to member countries to foster economic growth and industrialization.
2
The IMF acted as a forum for trade negotiations and tariff reductions among member states to promote global commerce.
3
The IMF established fixed exchange rates and provided short-term financial assistance to member countries facing balance of payments crises.
4
The IMF facilitated debt forgiveness programs and restructuring initiatives to alleviate the debt burdens of developing nations.