[2026] PTE Academic Reading - Re-order paragraphs

This fixed exchange rate provided significant stability for international trade by preventing sudden currency devaluations.

For much of the 19th and early 20th centuries, the global financial system was anchored by the gold standard.

Under this regime, the value of a country's currency was directly linked to a specific amount of physical gold.

However, the rigid nature of the system made it difficult for governments to respond effectively to domestic economic crises.

Consequently, most nations eventually abandoned the standard in favor of fiat currency to allow for more flexible monetary policies.