1. When the central banks of various countries intervene in the foreign exchange market to maintain an exchange rate, this type of exchange rate system is called a ________ exchange rate system.
a. fixed
b. flexible
c. all of the above
d. none of the above
2. Borrowing from abroad represents:
a. a capital outflow.
b. a capital inflow.
c. positive net savings.
d. none of the above.