q why would you suggest to a government


Q. Why would you suggest to a government to use a floating exchange-rate regime?

Answer: Floating Exchange Rate is an exchange rate in which central banks don't intervene in foreign exchange market to fix rates. Reasons for Floating Exchange Rates are given below:

1 Monetary policy autonomy.
2 Symmetry.
3 Exchange rates as automatic stabilizers.

Request for Solution File

Ask an Expert for Answer!!
International Economics: q why would you suggest to a government
Reference No:- TGS0309660

Expected delivery within 24 Hours