If There Is a Fixed-Exchange-Rate System, Then in the Long

question 84

Multiple Choice

If there is a fixed-exchange-rate system, then in the long run:

• A) the nominal exchange rate is fixed, but the real exchange rate is free to vary.
• B) the real exchange rate is fixed, but the nominal exchange rate is free to vary.
• C) both the nominal and real exchange rates are fixed.
• D) the nominal and real exchange rates vary by a fixed amount.

---

Definitions:

Promotional Materials

Various forms of media content created to advertise or market a product, service, or event.

Budget Section

A specified segment of a financial plan that outlines projected income and expenditure for a particular area or project.

Long Sales Proposal

A detailed written proposal aimed at persuading a prospective client or customer to purchase a product or service, particularly those of a complex or high-value nature.

Index

A list of names, subjects, etc., typically found at the end of a book, pointing to where relevant information can be located within the text.