Economics Question: How does the exchange rate of a country's currency impact its international trade and competitiveness, and what factors influence exchange rate fluctuations? A$)$ A stronger currency leads to increased exports, and factors like interest rates and inflation rates influence exchange rate fluctuations. B$)$ A weaker currency enhances international competitiveness, and exchange rates are solely determined by government intervention. C$)$ Exchange rates have no effect on international trade, and they are fixed by international agreements. D$)$ A stable exchange rate is essential for international trade, and it remains constant regardless of economic conditions.

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