Chapter TWo The international 2 Monetary System Chapter objective This chapter serves to introduce the student to the institutional framework within which International payments are made The movement of capital is accommodated Exchange rates are determinedINTERNATIONAL FINANCIAL MANAGEMENT EUN / RESNICK Second Edition 2 Chapter Two The International Monetary System Chapter Objective: This chapter serves to introduce the student to the institutional framework within which: •International payments are made. •The movement of capital is accommodated. •Exchange rates are determined