Although the pegged exchange rate between the yuan and the U.S.dollar has undervalued the yuan, China has been reluctant to abandon the peg for fear that abandoning the peg would
A) increase exports and increase the current account deficit.
B) reduce capital inflows.
C) reduce exports and reduce economic growth.
D) increase Chinese holdings of dollars.
E) reduce the number of US dollars available to Chinese savers.
Correct Answer:
Verified
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A)actions taken by the
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