What Is the Most Powerful Argument Against a Fixed Exchange

Multiple Choice

What is the most powerful argument against a fixed exchange rate?

A) The nation must administer the rates at all currency exchange venues, and it is expensive to do.
B) The nation usually gets opposition from other trading partners who are excluded.
C) The nation has to have a large store of gold on hand to exchange at fixed rates.
D) The nation gives up its ability to control its money supply and affect its own interest rates.