The things on the first floor seem to be taken from Baidu Encyclopedia. The summary is pretty good. Unfortunately, the focus is on explaining the unstable factors of the Bretton Woods system. Regarding inflation and the Bretton Woods system, even The new Bretton Woods system currently adopted by emerging countries has only two lines and is unclear.

The United States’ welfare policies that began in the 1950s and the long-term Vietnam War that began in the mid-1960s resulted in huge government expenditures. Coupled with the decline in manufacturing competitiveness and sluggish exports, its international balance of payments began to continue to deteriorate for many years. Large fiscal and trade deficits have accumulated. However, due to the Redden Forest System, the United States must provide a large amount of U.S. dollars and an equal amount of gold reserves as guarantees to its trading partners, mainly advanced countries with post-war economic recovery such as West Germany, France, the United Kingdom, and Japan. However, in order to maintain the competitiveness of their exported products, these countries would rather buy U.S. dollars but are reluctant to appreciate their own currencies, artificially lowering the exchange rate against the U.S. dollar. However, as the United States continues to enter the super market and its economic competitiveness weakens, a global glut of US dollars has emerged, and the US dollar has gradually become overvalued.

The Triffin Dilemma clearly explains that the solvency of the US dollar and confidence in the US dollar are in conflict with each other. When these trading superpowers gradually realized that the U.S. dollar was overvalued and lost confidence in the U.S. dollar, they all dumped the U.S. dollar and asked the U.S. government to fulfill its promise to exchange for gold to maintain its value, causing an inevitable massive loss of U.S. gold reserves. From 1960 to 1971, when Nixon unilaterally announced the abolition of the fixed gold exchange rate, the United States lost two-thirds of its gold reserves. In 1971, Nixon voluntarily announced the abolition of the US dollar-gold exchange rate guaranteed by the United States. In fact, the US Federal Reserve could no longer bear the loss of gold and refused to fulfill its commitment to sell gold to foreign central banks. So far, the Bretton Woods system in which the US dollar was linked to gold existed in name only.

Without the requirement for gold reserves, the U.S. government is even more unscrupulous and intensified in issuing large amounts of U.S. dollars. All raw materials around the world, including gold, priced in U.S. dollars, have begun to rise sharply. The U.S. dollar is important for its main trade. The rival country's currency began to plummet.

Regardless of the Bretton Woods system and the subsequent New Bretton Woods system, it is actually a dollar circulation system formed by the United States and countries that rely on the U.S. market: On the one hand, the United States issues a large amount of U.S. dollars to purchase a large amount of consumer goods from trading countries. , resulting in a sharp increase in the U.S. dollar foreign exchange reserves of these countries. At the same time, the U.S. trade deficit continues to expand, and the U.S. continues to print U.S. dollars to fill the deficit. On the other hand, the United States issued a large amount of bonds, which were purchased in large quantities by these countries, which caused a continuous flow of dollars back to the United States. During the process, as long as the U.S.'s trading opponents are unwilling to raise their exchange rates, damage their own export competitiveness, and affect domestic employment and social stability, then this unfair game will continue to be played, and the only certain by-product is the world's commodity currency. Inflated, that is to say, everyone knows that this game is harmful to others and themselves, but they cannot stop playing it.

At present, it seems that the only thing that can stop the global inflation trend is the comprehensive aging of society similar to what Japan has seen in the past two decades, but it does not appear to be happening in the short term.