Managed Float Means

question 20

Multiple Choice

Managed float means

• A)a fixed exchange rate system with regularly scheduled periodic devaluations
• B)a freely floating exchange rate system
• C)a hybrid of freely floating exchange rates with occasional intervention by central banks
• D)a fixed exchange rate system managed by the European Community
• E)a flexible exchange rate system managed entirely by the IMF

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Definitions:

Reliability

The level of consistency and stability in the results produced by an assessment instrument across time.

Validity

The extent to which a test accurately measures what it is intended to measure.

Correlation

A statistical measure that describes the extent to which two variables change together, but does not necessarily imply causation.

Discriminant Validity

The extent to which a test or experiment measures different constructs, demonstrating that the scales do not correlate too highly with measures from which they should differ.