Exchange-Rate Stability Is Likely to Be a More Important Goal

question 31

Multiple Choice

Exchange-rate stability is likely to be a more important goal for the central banks of:

• A) emerging market economies than the central bank of the U.S.
• B) the U.S. and Japan than most small developing countries.
• C) countries where exports and imports make up a small total of all economic activity.
• D) large, closed economies.

---

Definitions:

Sensorimotor Stage

A developmental phase from birth to about 2 years of age, in Jean Piaget's theory, where infants learn about their environment through their sensory and motor interactions.

Nonsymbolic Aspects

Elements or features not represented by symbols or not involving symbolic representation or thought, often relating to direct, concrete experiences.

Coordinate Sensations

involves the ability to integrate sensory information from different sources, leading to a unified perception of one's environment.

Motor Reflexes

Involuntary movements or actions automatically triggered by specific stimuli, fundamental for survival and development.