When a Country Forgoes Its Own Currency and Starts Using

question 57

Multiple Choice

When a country forgoes its own currency and starts using another country's currency as its own,we say that this country has

• A)created a currency board.
• B)undergone dollarization.
• C)adopted a managed exchange system.
• D)adopted an exchange rate monetary system.

---

Definitions:

Chimpanzees

Chimpanzees are primates that belong to the great apes family, known for their high intelligence and complex social behaviors.

Confirmation Bias

The tendency to search for, interpret, favor, and remember information in a way that confirms one’s preconceived beliefs or hypotheses.

Scientific Method

A systematic process for investigating phenomena, acquiring new knowledge, or correcting and integrating previous knowledge, based on empirical or measurable evidence.

Functional Fixedness

A cognitive bias that limits a person to using an object only in the way it is traditionally used.