Under the Managed flOating System of Exchange Rates

question 216

Multiple Choice

Under the managed floating system of exchange rates,

• A) all exchange rates vary with changes in the free-market prices of gold.
• B) industrialized nations meet once each year to negotiate readjustments in their exchange rates.
• C) exchange rates are essentially flexible, but governments intervene to offset disorderly fluctuations in rates.
• D) exchange rates are adjusted at the discretion of the IMF.

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Definitions:

Classical Conditioning

A process of learning where two stimuli are continually paired together; the response, initially caused by the second stimulus, is finally caused by the first stimulus alone.

Watson

Pertains to John B. Watson, the American psychologist who founded the behaviorism school of psychology.

Thorndike

Edward L. Thorndike was an American psychologist known for his work in comparative psychology and the theory of connectionism which helped lay the scientific foundation for educational psychology.

Scientific Community

A collective of scientists and researchers who share knowledge, collaborate on projects, and contribute to the advancement of science through publications and peer review.