It Has Been Argued That the Exchange Rate Can Be

question 56

Multiple Choice

It has been argued that the exchange rate can be used as a policy tool. Assume that the UK government would like to reduce inflation. Which of the following is an appropriate action given this scenario?

• A) Sell pounds for foreign currency.
• B) Buy pounds with foreign currency.
• C) Lower interest rates.
• D) None of the above

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Definitions:

Cell A1

The reference to the first cell in spreadsheet programs like Microsoft Excel, located at the intersection of the first row and the first column.

Cell B1

Refers to the cell located at the intersection of column B and row 1 in a spreadsheet.

Manual Calculation Option

A setting in applications like spreadsheets that requires the user to request calculations instead of having them done automatically.

Quick Analysis Tool

A feature in certain software applications that provides immediate access to a range of analytical options for selected data.