chapter  V
7 Pages

International Capital Transfers

WE have said in Chapter II that one of the fundamental causes that brought about the collapse of the gold standard in Great Britain was the abnormal increase of international capital transfers after the war. For a variety of reasons the volume of capital subject to transfer at short notice has become a multiple of its pre-war figure. This constituted a powerful factor jeopardizing international monetary stability. London, being the principal monetary centre, had to stand the major part of the strain.