Not only was there robust global growth during this period, a number of other features were also striking. In particular, increasingly global growth was spread more widely, with emerging market and developing economies accounting for a higher share of growth. An important factor behind these developments has been globalisation, which has had both a significant real and financial dimension.
On the other, there was the ability to exert speculative pressure on a currency with an exchange rate that appeared no longer to deserve confidence. Thirdly, countries with a better domestic stability record than the anchor country at that time, the United States -- such as Germany in the 1096s and early 1970s -- imported inflation through the fixed rate system.