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    Economics Study Set 8
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    Exam 35: International Financial Policy
  5. Question
    If a Country Wants to Fix Its Exchange Rate at a Rate
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If a Country Wants to Fix Its Exchange Rate at a Rate

Question 141

Question 141

Essay

If a country wants to fix its exchange rate at a rate that is lower than the market rate,what monetary or fiscal policy must it use? Explain.

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To decrease the value of its currency,th...

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