Speculation in Exchange Markets Is Often Thought of as Conducive

Multiple Choice

Speculation in exchange markets is often thought of as conducive to wild fluctuations in exchange rates.In practice it appears that speculators

A) have destabilized several currencies that were at sustainable equilibrium levels.
B) have no effect in fixed rate systems.
C) in fact tend to stabilize exchange rates rather than destabilize them.
D) All of the above are correct.