A Country That Has an Exchange Rate System Under Which

question 107

Multiple Choice

A country that has an exchange rate system under which its exchange rate is allowed to fluctuate against other currencies within a target zone is using a(n) ________ system.

• A) free float
• B) fixed peg
• C) adjustable peg
• D) pure float
• E) capital float

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Definitions:

African Nations

Countries located on the African continent, which include diverse cultures, economies, and histories.

Adult Population

The segment of the population that comprises individuals who are considered adults, typically based on reaching a specific age threshold.

Literate

The ability to read and write at a level sufficient for effective communication and consumption of information.

Social Overhead Capital

Basic infrastructure projects such as roads, power generation, and irrigation systems.