International Financial Management Study Set 1
Quiz 6: Government Influence on Exchange Rates
46.The establishment of the euro allows for more consistent economic conditions across countries but eliminates the power of any individual European country to solve local economic problems with its own unique monetary policy.
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47.The Asian crisis is generally believed to have started in Japan.
48.A possible reason why China was less affected by the Asian crisis is that its government exerts more influence on private enterprise than the governments of other Asian countries.
49.Currency devaluation can boost a country's exports, but currency revaluation can increase foreign competition.
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