Fixed Exchange Rates Are Often Maintained by Using All of the Following

question 122

Multiple Choice

Fixed exchange rates are often maintained by using all of the following tools except

• A) open speculation by individual traders in foreign currency markets.
• B) international monetary reserves held by central banks.
• C) controls on imports and exports, such as tariffs and quotas.
• D) domestic macroeconomic adjustments using monetary and fiscal policies.

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Definitions:

Subgroup

A smaller, distinct group formed within a larger group, often characterized by shared interests or goals.

Motivator

An internal or external factor that stimulates desire and energy in people to be continually interested and committed to a job, role, or subject.

Community

A group of people living in the same place or having a particular characteristic in common, or a feeling of fellowship with others.

Composition

The way in which something is made up or formed, including the structure or arrangement of its parts.