In a Flexible Exchange-Rate System,the Value of a Currency Is

question 88

Multiple Choice

In a flexible exchange-rate system,the value of a currency is determined by

• A)the government.
• B)the intersection of the IS and LM curves.
• C)the demand and supply for the currency in the foreign exchange market.
• D)Swiss gnomes.

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Definitions:

Illegal Transaction

A deal or exchange that violates state or federal laws and is therefore void and unenforceable.

Russia

A country extending over much of northern Eurasia, with a complex history, rich culture, and significant influence in global affairs.

Restrictive Endorsement

A limitation placed on the use of a check that specifies the conditions under which the check can be endorsed or cashed.

Negotiable

Refers to something that can be transferred from one party to another, commonly used in the context of financial instruments that can be exchanged or sold.