A "good" (or ideal) international monetary system should provide

Question

Quizplus · Accepted Answer

The ideal international monetary system should provide liquidity to ensure that there is sufficient money supply to facilitate trade and economic growth between countries. It should also have the capacity to adjust to changes in the global economy, which requires elasticity. Additionally, it should inspire confidence in the global community, which is critical to maintaining stability, and the ability to make necessary changes or adjustments for the system to remain relevant. Therefore, option C, liquidity, adjustments, and confidence, is the best choice. Option A has two of the three key elements but misses out on adjustments. Option B has elasticity and sensitivity, which are quite similar, but misses out on liquidity and the confidence factor. Option D is not correct as the question requires the correct choice(s).

A "Good" (Or Ideal) International Monetary System Should Provide