Which of the Following Does NOT Describe Why Britain Adopted

Multiple Choice

Which of the following does NOT describe why Britain adopted the pegged system (the Exchange Rate Mechanism [ERM]) in 1990?

A) There were benefits to trade and other forms of cross-border exchange.
B) Britain wanted to hold onto the pound as its currency.
C) It was a member of the European Union and fixed rates were good for trade with other members.
D) It hoped to participate in the new common currency when it was launched.