Which Statement Is True of a World with a System

question 275

Multiple Choice

Which statement is true of a world with a system of fixed exchange rates as opposed to one with floating rates?

• A)It requires less world liquidity or reserves.
• B)It creates less confidence about future values of currencies.
• C)It facilitates the transmission of shifts in economic conditions between countries.
• D)It increases the role of the central banks in foreign exchange markets.

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Having the quality of causing someone to become dependent on a substance or activity, often compulsively.

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Pertaining to the mental processes involved in acquiring knowledge and understanding through thought, experience, and the senses.

Depression

A mental condition characterized by an unrelenting gloomy mood or a disconnection from regular activities, which significantly impairs normal life.

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A notebook is a book or stack of paper pages that are often ruled, used for purposes such as recording notes or memoranda, writing, drawing, or scrapbooking.