Those in favor of floating exchange rate claim that ____.
A) uncertainty in monetary markets dampens the growth of international trade
B) inflation is beneficial to a country if it is controlled closely
C) trade imbalances can be adjusted by using floating exchange rates
D) governments can have rigid control over monetary markets by using floating rates

Question

Quizplus · Accepted Answer

Those in favor of floating exchange rates argue that floating rates help adjust trade imbalances.

Those in Favor of Floating Exchange Rate Claim That ____