If local inflation rates remain lower than the inflation rate in the country to which the currency is pegged,the currencies of countries with currency boards can become uncompetitive and overvalued.

Question

Quizplus · Accepted Answer

The Answer of If local inflation rates remain lower than the inflation rate in the country to which the currency is pegged,the currencies of countries with currency boards can become uncompetitive and overvalued.

If Local Inflation Rates Remain Lower Than the Inflation Rate