Intervention Motivation. Why do governments and central banks intervene in the foreign exchange markets? If markets are

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Intervention Motivation. Why do governments and central banks intervene in the foreign exchange markets?

If markets are efficient, why not let them determine the value of a currency?

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Multinational Business Finance

ISBN: 9781292097879

14th Global Edition

Authors: David Eiteman, Arthur Stonehill, Michael Moffett

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Question Posted: Jun 04, 2024 01:03 AM

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Why do governments and central banks intervene in the foreign exchange markets? If markets are efficient, why not let them determine the value of a currency?
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