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If China wished to reduce their accumulation of foreign exchange reserves they could:

A. allow their currency, the yuan, to float freely in the market place.
B. reduce their current account surplus by importing more goods than they export.
C. undertake both of the activities identified in choices A and B.
D. try their best to reduce the trade imbalances with the rest of the world.

1 Answer

5 votes

Answer:

D. try their best to reduce the trade imbalances with the rest of the world.

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