Failure to coordinate monetary policies with ________ exchange ...

[aabwk4]

Failure to coordinate monetary policies with ________ exchange rates can lead to ________ that might be offset by coordination.
 
  A) floating; negative externalities
  B) floating; sterilization
  C) fixed; negative externalities
  D) fixed; sterilization

Question 2

As an exchange rate regime, target zones would be classified as
 
  A) splitting the difference between fixed and flexible.
  B) a flexible exchange rate policy.
  C) a fixed exchange rate policy.
  D) a currency basket.

[sultansheikh]

Answer to Question 1

A

Answer to Question 2

A

[aabwk4]

Excellent

[kishoreddi]

Gracias!