The Reason the Current Exchange Rate System Is Called a "Managed

question 33

Multiple Choice

The reason the current exchange rate system is called a "managed float" is that:

• A)it is managed by the IMF.
• B)it is basically a misnomer.
• C)it recognizes that there will be some intervention by central banks.
• D)only the forces of supply and demand determine the exchange rates.
• E)Congress passed a law declaring that the exchange rate system be legally termed "managed float."

---

Definitions:

Gray Matter

The darker, non-myelinated parts of the central nervous system, consisting mainly of neuronal cell bodies, dendrites, and unmyelinated axons, involved in muscle control and sensory perception.

White Matter

Tissue in the brain and spinal cord made up of myelinated nerve fibers, responsible for transmitting signals within the nervous system.

Sensory Neuron

A neuron that transmits an impulse from a receptor to the central nervous system.

Blood Pressure

The force exerted by blood against the inner walls of the blood vessels.