A Depreciation of a Currency Below the Exchange Rate Fixed

question 216

Multiple Choice

A depreciation of a currency below the exchange rate fixed by its government CANNOT be countered by:

• A) decreasing capital flows out of the country.
• B) limiting the domestic purchase of foreign financial assets.
• C) decreasing capital flows into the country.
• D) decreasing foreign exchange reserves.

---

Definitions:

FR-4 Schedule

A fixed-ratio schedule where a response is reinforced only after four instances of that response.

Prefrontal Cortex

The front part of the frontal lobes of the brain, involved in complex behaviors, decision making, and moderating social behavior.

Parietal Lobe

A region of the cerebral cortex that plays a key role in processing sensory information from various parts of the body, understanding spatial orientation, and navigation.

Matching Law

When an animal has free access to two different schedules of reinforcement; its response is proportional to the level of reinforcement available on each schedule.