The system under which the government allows the exchange rate to be determined is called the

Question

Quizplus · Accepted Answer

The exchange rate regime is the system under which a country manages its currency in relation to other currencies and the foreign exchange market. It determines how the exchange rate is set, including whether it is allowed to float freely, is pegged to another currency or a basket of currencies, or is managed in some way by the government or central bank.

The System Under Which the Government Allows the Exchange Rate