Managed floating is typically undertaken by a country to

Question

Quizplus · Accepted Answer

Managed floating is adopted by countries to prevent sudden and large fluctuations in the value of their currency. This is achieved through government intervention in the market, such as the buying or selling of foreign currency reserves. While it may have some impact on a country's net exports or ability to attract foreign investment, the primary objective is to maintain currency stability and avoid economic instability, particularly inflation.

Managed Floating Is Typically Undertaken by a Country to