12th Class Economics Foreign Exchange Rate Question Bank MCQs - Foreign Exchange Rate

  • question_answer
    Devaluation of currency is a component of......... exchange rate system.

    A) fixed

    B) flexible

    C) managed floating

    D) Both [b] and [c]

    Correct Answer: A

    Solution :

    Devaluation refers to tile decrease in the value of domestic currency as planned by the government under fixed exchange rate.


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