Multiple Choice
In addition to economic variables,intervention of the government in the FX market may affect the equilibrium exchange rate.Which of the following interventions does the Australian government continue to pursue?
A) Increased tariff protection in the car industry and textile, clothing and footwear industries.
B) Implementing tougher foreign investment guidelines, imposed by the Foreign Investment Review Board.
C) Active participation in the FX market to maintain the AUD exchange rate within a target exchange rate band published in the Reserve Bank Bulletin.
D) None of the given answers.
Correct Answer:
Verified
Correct Answer:
Verified
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