Import Controls That Can Help a Government Maintain a Fixed

Multiple Choice

Import controls that can help a government maintain a fixed exchange rate, which if left to the foreign exchange market would depreciate, are

A) lowering tariffs and increasing quotas so that more international trade occurs
B) raising tariffs and decreasing quotas so that its country's demand for foreign exchange decreases
C) requiring exporters to turn over their foreign exchange to the government at a fixed exchange rate
D) having the IMF loan the government enough foreign exchange to get through the crisis
E) causing a devaluation of the nation's currency so that exports rise and imports fall