Register
If government policy allows a country's currency to be determined in the exchange rate market, then that currency will be subject to: A) a hard peg policy. B) purchasing power parity. C) depreciation.
171k views
5 votes
If government policy allows a country's currency to be determined in the exchange rate market, then that currency will be subject to:

A) a hard peg policy.
B) purchasing power parity.
C) depreciation.
D) a floating exchange rate.

User Lizmary
by
4.4k points

1 Answer

1 vote

Answer:

The correct answer is D) a floating exchange rate.

Step-by-step explanation:

The floating exchange rate is a characteristic of the currency that is not determined by any central bank, but from operations of supply and demand of the currencies in a stock exchange or the exchange market. This behavior is determined by internal factors and uncertainty such as inflation or natural phenomena, oil behavior, etc.

User Melodic
by
4.4k points
Ask a Question
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

4.4m questions

5.6m answers

Other Questions

Stevenson Company purchased equipment for $250,000 on January 1, 2010. The estimated salvage value is $50,000, and the estimated useful life is 5 years. The straight-line method is used for depreciation.
The method of appraisal in which the appraiser estimates the replacement cost of the building, deducts depreciation, and adds the value of the site is:________
If Morgan worked 15 hours last week and is paid $10 per hour the amount of money she makes before taxes and other expenses are taken out is called: A. Net revenue B Net pay C Gross revenue D Gross pay
0.71 points eBookPrintReferences Check my work Check My Work button is now enabledItem 2Item 2 0.71 points Kerianne paints landscapes, and in late 2021 placed four paintings with a retail price of $300
Why does an enterprise need to listen to its customers
Link Copied!