Answer (B) is correct . The Bretton Woods Agreement abolished the gold standard that had existed since 1870 in favor of a modified gold standard. Under the modified gold standard, the U.S. dollar was pegged to gold, and other currencies were then pegged to the dollar.
Answer (A) is incorrect because The world began operating on a gold standard is 1870. In 1944, the system was changed to a modified gold standard.
Answer (C) is incorrect because Managing floating exchange rates were not adopted until the Jamaica Agreement of 1976.
Answer (D) is incorrect because Floating exchange rates did not occur until 1971.
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