Some Developing Countries Adopted a Managed Float Instead of a Free

question 32

Multiple Choice

Some developing countries adopted a managed float instead of a free float because

• A) a managed float does not require that they hold foreign reserves.
• B) exchange rates are less volatile under a managed float.
• C) there are restrictions on capital mobility under a free float.
• D) none of the above.

---

Definitions:

Board Members

Individuals elected or appointed to oversee the activities and governance of an organization, typically making strategic decisions.

Articles of Incorporation

The legal documents filed with a state government to legally document the creation of a corporation.

Dodd-Frank Wall Street Reform

The Dodd-Frank Wall Street Reform and Consumer Protection Act is a landmark piece of legislation passed in 2010 designed to reduce risks in the financial system and protect consumers.

Proxy Solicitation

involves the process of collecting votes from shareholders by a group or individual designated to vote on their behalf during a corporation's shareholders' meeting.