Which of the following fixed exchange rate regimes has very little monetary policy autonomy?
A) dirty float
B) open peg
C) open nonpeg
D) closed

Question

Quizplus · Accepted Answer

An open peg regime involves a country committing to maintaining a fixed exchange rate with another currency or a basket of currencies. This commitment often means that the country has to give up some monetary policy autonomy in order to keep the exchange rate fixed. Therefore, an open peg regime has very little monetary policy autonomy.

Which of the Following Fixed Exchange Rate Regimes Has Very