Factor

question 13

Multiple Choice

Factor:

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Definitions:

Managed Floating

An exchange rate system where a country's currency value is allowed to fluctuate in response to foreign-exchange market mechanisms, but the central bank can intervene to prevent extreme fluctuations.

Bretton Woods System

A monetary management system established post-World War II, which set up rules for commercial and financial relations among major industrial states.

Pegged Exchange Rates

A fixed exchange rate system where a country's currency value is fixed or pegged to another currency, a basket of currencies, or another measure of value.

Orderly Adjustments

Refers to planned and controlled changes in economic policies or conditions aimed at achieving stability or growth without causing undesirable market fluctuations.