Under a _________,countries adjust their national economic policies to maintain their exchange rates within a specific margin around agreed-upon,fixed central exchange rates.

Question

Quizplus · Accepted Answer

A target-zone agreement involves maintaining exchange rates within a specific margin around fixed central exchange rates. Managed float involves occasional government intervention in exchange rates, dirty float involves intentional manipulation of exchange rates, and "beggar-thy-neighbor" devaluation involves devaluing one's currency to gain an advantage over other countries.

Under a _________,Countries Adjust Their National Economic Policies to Maintain