Some Developing Countries Adopted a Managed Float Instead of a Free

question 32

Multiple Choice

Some developing countries adopted a managed float instead of a free float because

• A) a managed float does not require that they hold foreign reserves.
• B) exchange rates are less volatile under a managed float.
• C) there are restrictions on capital mobility under a free float.
• D) none of the above.

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Definitions:

Parenterally

Administering substances into the body in a manner other than through the digestive tract, such as intravenously or intramuscularly.

Low-molecular-weight Heparin

A category of anticoagulant medications that are derived from standard heparin, designed to prevent and treat blood clots with a lower risk of bleeding complications.

Intradermal Injection

An injection administered into the dermis layer of the skin, typically for allergy testing or tuberculosis screening.

Glargine Insulin

A long-acting insulin analog used to control blood sugar in individuals with diabetes mellitus, providing a steady level of insulin over a 24-hour period.