Question
Economics Question on A brief analysis of recent exchange rate issues
The following are features of flexible exchange rate system select the correct option.
(A) Give more flexibility to government.
(B) Restricts countries in conducting monetary policies.
(C) Government intervenes to comes gaps in BOP.
(D) Automatically takes care of surplus and deficit in BOP.
(E) Speculator attack on currency.
Choose the correct answer from the options given below:
A
(A) and (B) only
B
(A) and (D) only
C
(C) and (D) only
D
(D) and (E) only
Answer
(A) and (D) only
Explanation
Solution
The correct option is (B) :(A) and (D) only