Since 2009 the IMF's Exchange Rate Regime Classification System Uses

question 48

Multiple Choice

Since 2009 the IMF's exchange rate regime classification system uses a "de facto classification" methodology. Under this system, countries with "fixed exchange rates" are considered to have:

• A) a residual agreement.
• B) soft pegs.
• C) hard pegs.
• D) floating arrangements.

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Definitions:

Income Inequality

The unequal distribution of income among individuals or households within a society or country.

Technological Change

Innovations or improvements in technology that enhance productivity or efficiency in the production of goods and services.

Negative Income Tax

A welfare system within which individuals earning below a certain amount receive supplemental pay from the government instead of paying taxes.

Rawlsian

Pertaining to the philosophical and ethical framework proposed by John Rawls, focusing on justice as fairness and the distribution of resources.