It was born out of a 22-day conference in Bretton Woods, New Hampshire, from July to July 22, 1944.
Worldwide inflation leads to worldwide trade deficits and, ultimately, world-wide poverty.
The official rate of conversion was every dollar was equal to 35 ounces of gold. The problem with the Bretton Woods System is that it officially ended in 1971 when President Richard Nixon took the U.S. dollar off of the gold standard. But the other nations in the world decided to continue to use the dollar as the primary currency that they would trade their own currencies in for. This meant that every country in the system backed their currency in the form of dollars yet the dollar was no longer backed by anything. This is still the case today.