Advantage of a exchange rate system

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Reference no: EM133433432

Question: A system in which exchange rates are held constant A system in which exchange rates are determined by market forces, rather than government intervention A system in which exchange rates are allowed to fluctuate, but are subject to government intervention A system in which the home currency is synchronized with the value of a particular foreign currency One advantage of a exchange rate system is that the country with such a system is less affected by inflation in other countries.

Reference no: EM133433432

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