Flexible Exchange Rates Exist When

question 55

Multiple Choice

Flexible exchange rates exist when

• A) no one knows what the true value of a currency is.
• B) governments and central banks spend foreign reserves to prop up an exchange rate at a certain level.
• C) exchange rates are determined by forces of supply and demand.
• D) speculators bet that a currency will soon be depreciated.

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Definitions:

Carbon Dioxide

A colorless, odorless gas produced by burning carbon and organic compounds and by respiration. It is naturally present in the air and is absorbed by plants in photosynthesis.

End Product

The final product resulting from a process, which could refer to manufacturing, metabolic pathways, or any sequence of actions.

Similar Families

Groups of related organisms classified together due to shared characteristics and genetic similarities.

Taxonomy

The science of naming, describing, and classifying organisms; see systematics.