There are two types of exchange rates, ________ and________, each of which has a different effect on currency and international trade.

Question

Quizplus · Accepted Answer

Fixed and floating are the two primary types of exchange rates. A fixed exchange rate is pegged to another currency or basket of currencies, while a floating exchange rate is determined by the foreign exchange market through supply and demand.

There Are Two Types of Exchange Rates, ________ And________, Each

There Are Two Types of Exchange Rates, And, Each