The dollar glut is a term for the accumulation of American dollars outside of the United States, contrasted with the dollar gap, which lead to the creation of the Marshall Plan following World War II. The eventual shift to a dollar glut forced the end of the gold standard in the United States and led to the collapse of the Bretton Woods system.
The stability of the Bretton Woods system came to depend upon the ability of the US government to exchange dollars for gold at $35 an ounce. The American ability to fulfill this commitment began to diminish as the postwar dollar shortage was transformed into an overabundance of dollars, also known as the dollar glut.
Famous quotes containing the words dollar and/or glut:
“Give a beggar a dime and he’ll bless you. Give him a dollar and he’ll curse you for witholding the rest of your fortune. Poverty is a bag with a hole at the bottom.”
—Anzia Yezierska (c. 1881–1970)
“Removed from its more restrictive sense, masturbation has become an expression for everything that has proved, for lack of human contact, to be void of meaning. We have communication problems, suffer from egocentrism and narcissism, are frustrated by information glut and loss of environment; we stagnate despite the rising GNP.”
—Günther Grass (b. 1927)