In 2006, the nation of Zimbabwe reduced the value of its currency by 60 percent to bring its value more in line with the relative value of most other world currencies.This reduction of value is called:
A)deregulation
B)re-evaluation
C)devaluation
D)comparative disadvantage
E)exchange ratio

Question

Quizplus · Accepted Answer

Devaluation is the correct term for the deliberate reduction in the value of a country's currency relative to other currencies.

In 2006, the Nation of Zimbabwe Reduced the Value of Its