The purpose of limited capital account convertibility is to:
A)eliminate trade in goods and services.
B)limit trade in certain types of goods and services.
C)eliminate trade in assets.
D)limit trade in certain types of assets.

Question

Quizplus · Accepted Answer

Limited capital account convertibility is aimed at restricting the types of assets that can be traded or converted from one currency to another, rather than eliminating trade altogether. This allows for some level of foreign investment and capital movement while still giving the country control over its financial stability.

The Purpose of Limited Capital Account Convertibility Is To