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Exchange Restrictions Are Government Regulations That

Question 31

Multiple Choice

Exchange restrictions are government regulations that


A) require substantial domestic adjustments that governments are unwilling to accept.
B) allow a central bank to establish a monopoly on foreign exchange.
C) in the 1930s allowed governments to maximize capital flows.
D) Americans wanted to restore after WW II to liberalize international capital markets.
E) were used by the IMF to disallow residents to convert domestic currency into foreign currencies to settle current-account transactions.

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