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Author Question: One reason a country might choose a fixed exchange rate is A) to reduce inflation and promote a ... (Read 81 times)

vHAUNG6011

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on: Jun 30, 2018
One reason a country might choose a fixed exchange rate is
 
  A) to reduce inflation and promote a stable economic environment.
  B) to reduce the impact of economic shocks.
  C) to rid themselves of the pressure of monetary management.
  D) that it is easier for all citizens to understand.

Question 2

Outline the elements of an IMF stabilization package. Explain the mechanism by which it is expected to help a balance of payments deficit. How successful have these packages been? Explain your answer.
 
  What will be an ideal response?


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kilada

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Reply #1 on: Jun 30, 2018
Answer to Question 1

A

Answer to Question 2

Discussed in the chapter.


vHAUNG6011

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Reply 2 on: Jun 30, 2018
Excellent

lindahyatt42

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

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