Which One of the Following Is a Disadvantage of a Fixed

question 49

Multiple Choice

Which one of the following is a disadvantage of a fixed exchange rate system:

• A)Importers are insulated from the risk that the currency will appreciate over time.
• B)Management of an MNC is less difficult.
• C)The government might change the value of the currency.
• D)Exporters are insulated from the risk that the currency will depreciate over time.

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Definitions:

Organizational Culture

The shared values, beliefs, and practices that influence the behavior and decision-making of an organization's members.