Although the Pegged Exchange Rate Between the Yuan and the Dollar

question 31

Multiple Choice

Although the pegged exchange rate between the yuan and the dollar has undervalued the yuan,China had been reluctant to abandon the peg for fear that abandoning the peg would

• A)increase exports and increase the current account deficit.
• B)reduce capital inflows.
• C)reduce exports and reduce economic growth.
• D)increase Chinese holdings of dollars.

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Definitions:

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Receive Payments Window

The Receive Payments Window is a feature in accounting software where businesses record the collection of money from customers against their outstanding invoices.

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A bank account that allows for both deposits and withdrawals, often used by individuals and businesses for day-to-day transactions.

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Money owed to a company by its customers or clients for goods or services delivered or used but not yet paid for.