One of the Advantages of Adopting a Fixed Exchange Rate

question 390

Multiple Choice

One of the advantages of adopting a fixed exchange rate system is that it:

• A) reduces uncertainty.
• B) reduces the need for fiscal policy.
• C) increases the strength of monetary policy.
• D) does not require the country to maintain any large foreign exchange reserve.

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Definitions:

Target Market

A specific group of consumers at which a product or service is aimed, identified by demographics, interests, or other traits.

Retail Communication

The methods and channels a retailer uses to share information and engage with customers, including marketing, advertising, and in-store interactions.

Quadrant B

A segment in a matrix or chart that is typically used for analysis or strategic planning, focusing on specific criteria or characteristics.

Bloomingdale's Department Store

A luxury department store chain in the United States serving a range of consumer goods.