An Unsterilized Foreign-Exchange Intervention Occurs

question 5

Multiple Choice

An unsterilized foreign-exchange intervention occurs

• A)whenever a central bank purchases or sells domestic currency.
• B)whenever a central bank purchases or sells foreign currency.
• C)whenever a central bank allows the monetary base to respond to the sale or purchase of domestic currency.
• D)whenever a central bank fails to reduce its holdings of gold by the amount of a foreign-exchange purchase.

---

Definitions:

Differential Reinforcement

A technique that applies reinforcement selectively to specific behaviors while excluding others, aiming to encourage desirable behavior changes.

Response Covariation

A phenomenon where changes in one behavior result in changes in another behavior, suggesting a relationship between behaviors.

Differential Reinforcement

The process of reinforcing a specific behavior while also applying different reinforcement contingencies for other behaviors.

Backward Chaining

A teaching technique that involves breaking down a task into smaller parts and teaching the last step first, moving backwards towards the first step.