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Explain the floating exchange rate concept and its implications for international trade. Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys
Explain the "floating exchange rate" concept and its implications for international trade. Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a A floating exchange rate system involves fixed currency values determined by governments, promoting stability in international trade b In a floating exchange rate system, market forces determine currency values, leading to fluctuations based on supply and demand. c A floating exchange rate system restricts the movement of currencies, preventing adjustments in response to economic conditions. d Floating exchange rates only apply to regional trade agreements, allowing countries to manipulate their currencies within specific alliances freely
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