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The Contagion That Spread to South Korea, Indonesia, and Other

Question 147

Multiple Choice

The contagion that spread to South Korea, Indonesia, and other countries during the Asian financial crisis was:


A) speculative attacks forcing them to abandon their fixed exchange rates.
B) competitive devaluation that led to plummeting exchange rates for all.
C) competitive revaluation that led to severe overvaluation and collapse for all but South Korea.
D) a result of employing a fixed exchange rate by China.

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