Ed Imm INTB Exam 4 Part 1 With
Correct And Verified Answers
international fmonetary fsystem f- fCORRECT✅✅Institutional farrangements fcountries
fadopt fto fgovern fexchange frates.
floating fexchange frate f- fCORRECT✅✅A fsystem funder fwhich fthe fexchange frate ffor
fconverting fone fcurrency finto fanother fis fcontinuously fadjusted fdepending fon fthe flaws
fof fsupply fand fdemand. f(USD, fEuro, fYen, fPound)
pegged fexchange frate f- fCORRECT✅✅Currency fvalue fis ffixed frelative fto fa
freference fcurrency.
Managed fFloat fSystem f(Dirty fFloat) f- fCORRECT✅✅when fthe fvalue fof fcurrency fis
fdetermined fby fmarket fforces, fbut fthe fcentral fbank fof fa fcountry fwill fintervene fin fthe
fforeign fexchange fmarket fto ftry fand fmaintain fthe fvalue fof fthe fcurrency fif fit fchanges
fto frapidly fagainst fimportant freference fcurrency
fixed fexchange frate f- fCORRECT✅✅A fsystem funder fwhich fthe fexchange frate ffor
fconverting fone fcurrency finto fanother fis ffixed.
European fMonetary fSystem f(EMS) f- fCORRECT✅✅EU fsystem fdesigned fto fcreate fa
fzone fof fmonetary fstability fin fEurope, fcontrol finflation, fand fcoordinate fexchange frate
fpolicies fof fEU fcountries.
dollarization f- fCORRECT✅✅The fprocess fof faligning fa fcountry's fcurrency fwith fthe
fU.S. fdollar. fand fis fused fwhen fa fcountry fis fsuffering ffrom fsevere fmacro feconomic
fproblems, fsuch fas fhigh finflation, fmaking fits fown fcurrency fworthless
gold fstandard f- fCORRECT✅✅The fpractice fof fpegging fcurrencies fto fgold fand
fguaranteeing fconvertibility.
gold fpar fvalue f- fCORRECT✅✅the famount fof fcurrency fneeded fto fpurchase fone
founce fof fgold
balance-of-trade fequilibrium f- fCORRECT✅✅Reached fwhen fthe fincome fa fnation's
fresidents fearn ffrom fexports fequals fmoney fpaid ffor fimports.
Discipline ffrom fthe fIMF f(International fMonetary fFund) f- fCORRECT✅✅1) fMaintained
fa ffixed fexchange frate fand fdiscourages fcurrency fdevaluation fto fbring fstability fto fthe
fworld ftrade fenvironment f2) fSet fa ffixed fexchange frate fregime fthat fimposes fmonetary
fdiscipline fon fcountries, fcurtailing finflation
Correct And Verified Answers
international fmonetary fsystem f- fCORRECT✅✅Institutional farrangements fcountries
fadopt fto fgovern fexchange frates.
floating fexchange frate f- fCORRECT✅✅A fsystem funder fwhich fthe fexchange frate ffor
fconverting fone fcurrency finto fanother fis fcontinuously fadjusted fdepending fon fthe flaws
fof fsupply fand fdemand. f(USD, fEuro, fYen, fPound)
pegged fexchange frate f- fCORRECT✅✅Currency fvalue fis ffixed frelative fto fa
freference fcurrency.
Managed fFloat fSystem f(Dirty fFloat) f- fCORRECT✅✅when fthe fvalue fof fcurrency fis
fdetermined fby fmarket fforces, fbut fthe fcentral fbank fof fa fcountry fwill fintervene fin fthe
fforeign fexchange fmarket fto ftry fand fmaintain fthe fvalue fof fthe fcurrency fif fit fchanges
fto frapidly fagainst fimportant freference fcurrency
fixed fexchange frate f- fCORRECT✅✅A fsystem funder fwhich fthe fexchange frate ffor
fconverting fone fcurrency finto fanother fis ffixed.
European fMonetary fSystem f(EMS) f- fCORRECT✅✅EU fsystem fdesigned fto fcreate fa
fzone fof fmonetary fstability fin fEurope, fcontrol finflation, fand fcoordinate fexchange frate
fpolicies fof fEU fcountries.
dollarization f- fCORRECT✅✅The fprocess fof faligning fa fcountry's fcurrency fwith fthe
fU.S. fdollar. fand fis fused fwhen fa fcountry fis fsuffering ffrom fsevere fmacro feconomic
fproblems, fsuch fas fhigh finflation, fmaking fits fown fcurrency fworthless
gold fstandard f- fCORRECT✅✅The fpractice fof fpegging fcurrencies fto fgold fand
fguaranteeing fconvertibility.
gold fpar fvalue f- fCORRECT✅✅the famount fof fcurrency fneeded fto fpurchase fone
founce fof fgold
balance-of-trade fequilibrium f- fCORRECT✅✅Reached fwhen fthe fincome fa fnation's
fresidents fearn ffrom fexports fequals fmoney fpaid ffor fimports.
Discipline ffrom fthe fIMF f(International fMonetary fFund) f- fCORRECT✅✅1) fMaintained
fa ffixed fexchange frate fand fdiscourages fcurrency fdevaluation fto fbring fstability fto fthe
fworld ftrade fenvironment f2) fSet fa ffixed fexchange frate fregime fthat fimposes fmonetary
fdiscipline fon fcountries, fcurtailing finflation
