Economics · International Finance

An exchange rate that is determined entirely by the unregulated market forces of demand and supply is called a:

Verified Solution4 OptionsUpdated: October 2026👁️1 View

1Managed exchange rate
2Pegged exchange rate
3Floating exchange rate✓
4Fixed exchange rate

Correct answer

Floating exchange rate

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An exchange rate that is determined entirely by the unregulated market forces of demand and supply is called a:

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An exchange rate that is determined entirely by the unregulated market forces of demand and supply is called a:

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