What Is a Currency Band

question 150

Multiple Choice

What is a currency band?

• A) a limit below which the currency is not allowed to fall
• B) a limit above which the currency is not allowed to rise
• C) a fixed rate regime with some small variations up or down allowed
• D) a very rigid control of the currency-no variation allowed

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Definitions:

International Sale of Goods

Transactions involving the purchase and sale of goods across national borders, governed by specific laws and agreements to facilitate and regulate trade.

Boycotts

Organized refusal to buy, use, or participate in something as a form of protest or a means of coercion.

Quotas

Preset limits or targets on the quantity of specific goods that can be imported or exported within a certain time frame to regulate trade.

World Bank

A nongovernmental organization that works exclusively with the poorest nations in the international community to help them secure loans.