Which system would be accompanied by occasional currency interventions by central banks to stabilize or alter rates to avoid persistent balance of payments deficits or surpluses?
A)the gold standard
B)fixed exchange rates
C)flexible exchange rates
D)managed floating exchange rates

Question

Quizplus · Accepted Answer

Managed floating exchange rates involve central banks intervening in the currency markets to stabilize or alter exchange rates to prevent persistent imbalances, unlike purely market-driven or rigidly fixed systems.

Which System Would Be Accompanied by Occasional Currency Interventions by Central