In a country with policy of using a _____ exchange rate,the government determines the exchange rates,then adjusts macroeconomic policies to maintain the rates.

Question

Quizplus · Accepted Answer

A fixed exchange rate refers to a policy where a government sets the exchange rate of its currency to another currency or a basket of currencies. This means that the government determines the exchange rate and then adjusts its macroeconomic policies to maintain the rate.

In a Country with Policy of Using a _____ Exchange