Explain Mundells distinction between a true currency area and a pseudo currency area. Why is this distinction

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Explain Mundell’s distinction between a “true” currency area and a “pseudo” currency area. Why is this distinction important?

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International Economics

ISBN: 9780078021671

8th Edition

Authors: Dennis Appleyard, Alfred Field

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Question Posted: Dec 02, 2015 04:32 AM

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Explain Mundells distinction between a true currency area and a pseudo currency area. Why is this distinction

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A true optimum currency area preserves its fixed exchange rates by containing an effective BOP adjus...View the full answer

International Economics

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