Why May a Central Bank Intervene in the Foreign Exchange

question 20

Multiple Choice

Why may a central bank intervene in the foreign exchange market when its currency is appreciating?

• A) concerns about the country's exports becoming less competitive
• B) concerns about inflation
• C) concerns about imports becoming less competitive
• D) to sterilize the effects on the domestic economy

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Definitions:

Major Depressive Disorder

A mental health condition characterized by persistent feelings of sadness, loss of interest, and a lack of pleasure in activities.

Nutritional Needs

The essential nutrients required by the body for growth, reproduction, maintenance of health, and energy.

Psychomotor Agitation

A series of unintentional and purposeless motions that stem from mental tension and anxiety of an individual, often evident in psychiatric conditions.

Major Depressive Disorder

A mental disorder characterized by at least two weeks of pervasive sadness or loss of interest in most activities, along with other symptoms such as feelings of worthlessness, fatigue, or impaired concentration.