Under a System of Flexible Exchange Rates,what Will Correct a Deficit

question 101

Multiple Choice

Under a system of flexible exchange rates,what will correct a deficit in a country's balance of payments?

• A)depreciation in the nation's currency
• B)an increase in the nation's inflation rate
• C)a decline in the nation's domestic price level
• D)appreciation in the nation's currency

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Definitions:

Duty

An obligation or responsibility imposed by law, moral guidelines, or codes of conduct that requires a person or entity to act or refrain from acting in a certain way.

Assignable

Capable of being transferred from one party to another, typically referring to rights or property.

Delegating Duties

The process of assigning responsibility and authority to another person to carry out specific activities, while the original person remains accountable for the outcome.

Famous Tenor

A famous tenor is a celebrated male singer with a high voice range known for his performances in operas and concerts.