Analysis Of The Bretton Woods Conference

1098 Words 5 Pages
After the Second World War the world was in so much economic turmoil thus strategic measures to deal with crisis had to be formulated (Gallegher, 17). The reason was that contrary to the First World War, the destruction and the war was not only channeled towards soldiers but also to civilians. Most countries were struggling to sustain their populations and the need to develop unitary economy managements was needed. The Bretton Woods Conference was one of the major conferences that came up the initial strategic plans of universal economic management programs. A strategy that created institutions to help harmonize economic development goals and achievement was agreed to at the conference. The three major institutions that were created at the …show more content…
This was primarily a cost- cutting strategy. Some of the reasons of producing in one market were either because there was availability of raw materials of availability of cheap labor. The multi- national companies also used to set- up base in a country with the initial interest of producing goods for the same market. A good example of the strategy was the car factories set- up in Columbia and Brazil with the aim of producing vehicles for the same markets. These would ensure that transportation costs would be cut and also creating employment in the …show more content…
Policies ensure that multi- national corporations do not exploit people and resources negatively where they set- up base (Jenkins et al, 9). The policies ensure that the companies are fined huge sums of money whenever they do not abide by them. One of the policies is ensuring that the companies do not engage the duties of minor in their production lines. Using children as labors is one of the most atrocious crimes that a multi- national corporation should not be involved. The legal age- limit for workers should be eighteen years. Multi- national companies are not required to exploit workers by paying unsustainable wages. Many multi- national corporations have been faulted for paying workers less than a dollar a day while overworking them. Policies adopted by global organizations also require that people displaced by the activities of a multi- national be compensated to ensure that they start up their lively- hood in other areas where they will not be affected. There have been cases whereby multi- national corporations have been faulted for not compensating people who they have displaced thus heightening up tensions in the area. In case, the corporations shall engage in activities that may harm people living around them they are also required to notify them of their operations and compensate them to move so that they will not be affected. Multi- national corporations are

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