A __________________________ policy in which the government almost never acts to intervene in the exchange rate market will look a great deal like a floating exchange rate. Question 39 options: 1) pegged exchange rate 2) loose exchange rate 3) hard peg exchange rate 4) soft peg exchange rate
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A pegged exchange rate is when a country's currency value is tied to another major currency. A floating exchange rate is determined by market forces without direct government or central bank intervention. Show more…
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