Most countries operate under a(n)________ exchange rate system.

Question

Quizplus · Accepted Answer

Most countries operate under a freely floating exchange rate system, where the value of a currency is determined by the supply and demand in the foreign exchange market. Fixed and stable exchange rate systems are less common, with fixed systems typically involving a set value for a currency in relation to another currency, and stable systems involving government intervention to maintain a certain value for a currency. Immeasurable is not a relevant option for exchange rate systems.

Most Countries Operate Under A(n)________ Exchange Rate System