Exchange Rates That Are Allowed to Fluctuate in Response to Changes

question 76

Multiple Choice

Exchange rates that are allowed to fluctuate in response to changes in supply and demand is known as

• A) the foreign exchange markets.
• B) standard drawing rights.
• C) fixed exchange rates.
• D) flexible exchange rates.

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Definitions:

Late 19th Century

A period roughly from 1870 to 1900 marked by significant industrial, social, and political changes worldwide.

Vertical Integration

A business strategy where a company controls multiple stages of production or distribution within the same industry to increase efficiency and reduce costs.

Carnegie Steel

A steel production company established by Andrew Carnegie in the late 19th century, which played a significant role in the growth of the American steel industry.

Standard Oil

An American oil producing, transporting, refining, and marketing company established by John D. Rockefeller, which was a major part of the early petroleum industry and later broken up due to antitrust laws.