A restriction on the amount of a particular foreign currency that can be purchased or sold is a
A) monetary export control.
B) nontariff barrier.
C) currency devaluation.
D) currency control.
E) foreign-exchange control.

Question

Quizplus · Accepted Answer

A restriction on the amount of a particular foreign currency that can be purchased or sold is considered a foreign-exchange control. This control is put in place to manage a country's international reserves and stabilize their currency's value. It can limit the amount of currency leaving a country and can also limit the amount of currency that can be exchanged for the domestic currency.

A Restriction on the Amount of a Particular Foreign Currency