Which Exchange Rate System Requires an Immediate Response by a Government

question 17

Multiple Choice

Which exchange rate system requires an immediate response by a government to counter all market forces on exchange rates?

• A)The fixed exchange rate system
• B)The managed float exchange rate system
• C)The floating exchange rate system
• D)The Bretton-Woods exchange rate system

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Definitions:

White Eye

Typically referring to the appearance of the eye when light is reflected off the retina, potentially indicating certain eye conditions.

Vascular Membrane

A type of tissue rich in blood vessels, often found within or surrounding certain organs, providing them with nutrients and oxygenated blood.

Internal Reflection

A phenomenon where light wave strikes a medium boundary and is completely reflected back into the medium.

Photosensitive Cells

Cells that are sensitive to light, playing a key role in vision by converting light into signals that can be processed by the brain.