Economics · Macroeconomics
In an open economy, perfect international capital mobility combined with a fixed exchange rate regime implies:
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1coordinated fiscal policies with the rest of the world.
- 2inflation targeting autonomy.
- 3no monetary policy autonomy.✓
- 4inevitable exchange rate devaluation.
Correct answer
no monetary policy autonomy.
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