Prior to the introduction of the euro, many EU countries participated in a ________ system, in which the values of a set of currencies are fixed against each other at some mutually agreed upon exchange rate.
A) floating exchange rate
B) currency board
C) fixed exchange rate
D) pegged exchange rate

Question

Quizplus · Accepted Answer

In a fixed exchange rate system, the values of a set of currencies are fixed against each other at some mutually agreed upon exchange rate. Prior to the introduction of the euro, many EU countries participated in a fixed exchange rate system.

Prior to the Introduction of the Euro, Many EU Countries