The Fact That Exchange Rates Are Nearly Identical in Different

question 93

Multiple Choice

The fact that exchange rates are nearly identical in different markets around the world is due to

• A)the actions of speculators
• B)official action by central banks around the world
• C)the actions of arbitrageurs
• D)agreement by policy makers of the major industrial countries
• E)the actions of currency converters

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Definitions:

Stimulus

An external factor or event that provokes a specific functional reaction in an organ or tissue.

Renewed Interest

A revived or rekindled focus and curiosity in a particular subject, activity, or issue that perhaps had been previously set aside or overlooked.

Visual Stimulus

Any object or event in the environment that draws visual attention or elicits a visual response.

Memory

The cognitive process of retaining and recalling information or experiences.