China's Exchange Rate Policy

question 82

Multiple Choice

China's exchange rate policy:

• A) led to current account deficits in the early 2000s.
• B) led to the supply of yuan exceeding the demand for yuan.
• C) is floating rate policy.
• D) is a fixed rate policy.

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Definitions:

Sinking

The process where land or objects gradually go down or submerge in water or another medium.

Ground

The solid surface of the Earth, or a reference point in electrical engineering for a return path for electric current.

Earth's Water

The total amount of water found on, under, and above the surface of the Earth, including oceans, ice caps, groundwater, lakes, and atmospheric water vapor.

Fresh Water

Water that has low concentrations of dissolved salts and other total dissolved solids, typically found in lakes, rivers, and groundwater.