In Saying That the Present System of flOating Exchange Rates

Multiple Choice

In saying that the present system of floating exchange rates is managed, we mean that

A) countries that allow their exchange rate to move freely will lose their borrowing privileges with the IMF.
B) the value of any IMF member's currency can only vary 2 percent from its par value.
C) IMF officials determine exchange rates on a day-to-day basis.
D) the central banks of various countries sometimes buy and sell foreign exchange to alter undesirable trends in exchange rates.