Which of the following is not a major disadvantages of a ﬂexible exchange-rate system?

Question

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A flexible exchange-rate system can lead to other major disadvantages such as wild swings in rates causing high uncertainty and reduced trade (A), a depreciation of a nation's currency worsening its terms of trade (C), and wild swings in exchange rates destabilizing the domestic economy through the effects on the traded-goods sectors (D). However, it does not necessarily drain a nation's foreign-exchange reserves (B) as the central bank can intervene in the foreign-exchange market by buying or selling its currency to influence its exchange rate without necessarily depleting its reserves.

Which of the Following Is Not a Major Disadvantages of a ﬂExible