Exchange Rates That Are Allowed to Fluctuate in Response to Changes

question 76

Multiple Choice

Exchange rates that are allowed to fluctuate in response to changes in supply and demand is known as

• A) the foreign exchange markets.
• B) standard drawing rights.
• C) fixed exchange rates.
• D) flexible exchange rates.

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Definitions:

Ownership

The legal right or title to possess property, including the rights to use, sell, or transfer it.

Exculpatory Clause

A contract term designed to release one of the parties from liability for harm or wrongdoing, transferring the risk to another party.

Enforceable

A term describing a legal agreement or contract that is valid and can be upheld and compelled by law or court order.

Unconscionable

Related to actions or conditions that are shockingly unfair, immoral, or unjust, often to the extent that they are unenforceable in court.