A revaluation of a currency under a fixed-exchange-rate system occurs when the level at which the currency is fixed is:
A) increased.
B) decreased.
C) allowed to float.
D) kept fixed within a band.

Question

Quizplus · Accepted Answer

A revaluation of a currency under a fixed-exchange-rate system occurs when the level at which the currency is fixed is increased. This means that the value of the currency is increased in relation to the reference currency or the exchange rate.

A Revaluation of a Currency Under a Fixed-Exchange-Rate System Occurs