The two varieties of exchange-rate systems are
A)supply and demand for foreign exchange.
B)dollar exchange rate and foreign exchange rate.
C)flexible- or floating-rate and fixed-rate.
D)depreciating rate and appreciating rate.

Question

Quizplus · Accepted Answer

The two main varieties of exchange-rate systems are the flexible- or floating-rate system, where the exchange rate is determined by the market forces of supply and demand, and the fixed-rate system, where governments or central banks set the exchange rate.

The Two Varieties of Exchange-Rate Systems Are