A country that introduces a _____ commits itself to converting its domestic currency on demand into another currency at a fixed exchange rate.
A) free float exchange rate system
B) clean float exchange rate system
C) pure float exchange rate system
D) currency board
E) gold standard

Question

Quizplus · Accepted Answer

A currency board commits to converting its domestic currency on demand into another currency at a fixed exchange rate. This is different from a free float exchange rate system (A), clean float exchange rate system (B), pure float exchange rate system (C), and gold standard (E).

A Country That Introduces a _____ Commits Itself to Converting