What Was the Effect of Introducing the Euro with Respect

question 50

Multiple Choice

What was the effect of introducing the Euro with respect to hedging?

• A)Euro-zone trading partners no longer need to hedge each other's currencies.
• B)Accounts receivable from sales to a customer in one Euro-zone country acts as a natural hedge against accounts payable to a supplier in another Euro-zone country for companies outside the Euro-zone.
• C)There are fewer currencies to hedge.
• D)All of the above

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