Question
Economics Question on Foreign exchange market
Identify the set of correct Statements :
(A) Fixed Exchange rate is regulated by the Government
(B) Flexible Exchange rate is regulated by the market forces
(C) Dirty Floating is a hybrid of Fixed and Flexible Exchange rate system
(D) Flexible exchange rate system is also known as dirty floating
(E) Fixed exchange rate keeps on changing with the change in demand and supply of Foreign Exchange
Choose the correct answer from the options given below :
A
(A) and (B) only
B
(C), (D) and (E) only
C
(A), (B) and (C) only
D
(B), (C) and (D) only
Answer
(A), (B) and (C) only
Explanation
Solution
The correct option is (C) :(A), (B) and (C) only.