Argument for a fixed exchange rate system

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Which of the following is an argument for a fixed exchange rate system?

A) Each country should be allowed to choose its own inflation rate.

B) It ensures that governments do not expand the monetary supply too rapidly, thus causing high price inflation.

C) Governments can contract their money supply without worrying about the need to maintain parity.

D) Trade balance adjustments do not require the intervention of the International Monetary Fun

Reference no: EM13762199

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